Pakistan’s Energy Policy Shift: Exploring the Rs4.66/unit Electricity Price Surge

Pakistan’s Energy Policy Shift: Exploring the Rs4.66/unit Electricity Price Surge.On Saturday, the power regulator increased the electricity tariff by Rs4.56 per unit, delivering yet another setback to the already burdened individuals affected by inflation in Karachi.

The power tariff for the month of December 2023 has been increased by Rs 4.56 per unit in the account of fuel adjustment charges, as notified by the National Electric Power Regulatory Authority (NEPRA).

Prior to the elections, individuals had anticipated some respite. However, consumers encountered consecutive setbacks, starting with the increase in petrol prices and now the surge in power tariff, which will significantly impact their household budgets.

The increase in power tariffs, which is associated with fuel adjustment, will collectively impose an extra burden of Rs39.5 billion on electricity consumers.

It is important to highlight that within a span of two months, there has been an increase of Rs8.69 in electricity prices as a result of fuel price adjustment. Specifically in the month of November, the electricity tariff experienced a rise of Rs4.13.

Version 1: The recent increase in power tariffs over the span of two months has resulted in an added financial burden of Rs76 billion for consumers.

All consumer categories, with the exception of K-Electric and Lifeline customers, are subject to the recent rise in power tariff.Pakistan’s Energy Policy Shift: Exploring the Rs4.66/unit Electricity Price Surge.

After concluding a hearing on the petition filed by the Central Power Purchasing Agency (CPPA) requesting an increase of Rs5.63 per unit in electricity tariff, NEPRA officially announced the surge.

The surge in prices can also be attributed to the decrease in electricity usage, which will undoubtedly contribute to further inflation, particularly during challenging periods when individuals are already grappling with exorbitant costs for essential goods.