Good news for electricity consumers as Nepra cuts power tariffs for Discos, KE

Irrespective of consumption level, Nepra specifies that tax reduction will be offered to power consumers with Time of Use metres
An undated image. — Unsplash

An undated image. — Unsplash

In a much-needed development in favour of the power consumers across Pakistan, the electricity bills of February are likely to witness a notable drop as the National Electric Power Regulatory Authority (Nepra) has approved a drop in electricity tariffs for distribution companies (Discos) and Karachi Electric (KE) under the fuel charges adjustments (FCA) mechanism.

Tariffs on December 2024 bills for Discos' and November 2024 for K-Electric have been dropped by Rs1.2283 per unit and Rs1.23 per unit, respectively.

Since these adjustments are administered for the months whose billing has long concluded, they will be reflected in the electricity bills of February 2025, providing relief to the tax-ridden citizens already faced with continuously increasing taxes.

The dramatically rising tariffs have led to the suspension of various industries from Pakistan's $350 billion economy while causing social unrest. Such an unaffordable extent of taxes has also led to a contraction in the economy, according to The News.

NEPRA noted that the adjustments will be applied to most of the consumer categories, with the exception of lifeline customers, domestic consumers using up to 300 units, electric vehicle charging stations, prepaid customers, and agricultural connections.

Irrespective of the consumption level, the power regulatory body also specified that the tax reduction will be offered to power consumers with Time of Use (ToU) metres.