ISLAMABAD:
Electricity consumers are likely to face an increase of up to Rs 0.82. per unit under the monthly fuel cost adjustment (FCA) for May 2026 as the National Electric Power Regulatory Authority (NEPRA) held a public hearing on the proposed tariff revision on Tuesday.
During the hearing, it was revealed that the actual fuel cost was Rs 9.2488 per litre. unit against the benchmark fuel cost of Rs 8.4315. per
The Central Power Purchasing Agency (CPPA) has requested the hike, according to NEPRA officials.
Officials informed the hearing that the proposed adjustment would impose an additional burden of around Rs 10 billion on electricity consumers. They added that a total of 12.33 billion units of electricity were sold during May 2026.
CPPA officials told the hearing that total electricity consumption in May fell by 4.6 percent.
They claimed that electricity consumption also fell by about one percent due to the early closing of markets under austerity measures imposed after the Iran-US war.
NEPRA members questioned the reasons behind the drop in electricity demand and asked if the reduction was linked to load shedding.
CPPA officials responded that the lower demand was partly due to the Eid holidays and relatively lower temperatures in May.
According to the National Power Control Center (NPCC), peak electricity generation in May reached 23,333 MW.
NEPRA also questioned why electricity demand had fallen despite the government’s phased package for the agriculture and industrial sectors.
CPPA officials attributed part of the decline to increased daytime solarization, saying demand for electricity from the grid had fallen as more consumers relied on daytime solar power.
They further informed the hearing that LNG supplies had been restored by the end of April 2026. However, they said that fuel costs for power generation had increased due to the Iran-US war. According to the officials, the maximum electricity demand in June was 26,000 MW.
Jamaat-e-Islami rejected the proposed hike in electricity rates during the hearing.
Its representative, Imran Shahid, said they rejected the proposed increase of Rs 0.82.
The interveners argued that the public should not bear the cost of bad governance. They pointed out that the low-cost Neelum-Jhelum hydropower project remained out of commission.
They also said severe load shedding continued across the country and criticized the government for not developing an adequate transmission system capable of providing cheaper electricity.
Imran Shahid further said that the people of Karachi should not suffer due to the inefficiency of K-Electric.
Rehan Javed, representing the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), questioned why the demand for electricity did not increase despite the availability of a cheap industrial power package.
“The textile industry is shutting down, underscoring the deteriorating condition of the manufacturing sector,” he said.
He also argued that the financial burden of incremental packages should not be shifted to other categories of consumers.
