ISLAMABAD:
Electricity consumers across Pakistan may face another hike in electricity bills next month after power companies sought an adjustment in fuel costs of Rs 1.20 per litre. unit (FCA) for August, citing higher production costs driven mainly by expensive imported fuels, particularly Regasified Liquefied Natural Gas (RLNG).
If approved by the National Electric Power Regulatory Authority (Nepra), the proposed adjustment will enable power utilities, including the erstwhile Wapda distribution companies (Discos) and K-Electric, to recover an additional Rs 15.7 billion from consumers through August electricity bills.
Nepra has scheduled a public hearing on July 29 to examine the request.
The petition was filed by the Central Power Purchasing Agency (CPPA), which said electricity demand in June 2026 was marginally lower than in the corresponding month last year.
According to the agency, power consumption stood at 13,066 million units in June this year compared to 13,310 million units in June 2025.
According to the CPPA, the main factor behind the increase in fuel costs was the sharp rise in RLNG prices. Fuel costs for RLNG-based generation rose to around Rs35 per unit, almost double the Rs16 per unit recorded in June last year.
The agency said the benchmark fuel cost for June 2026 had been fixed at Rs 7,714 per litre.
Fuel costs also rose due to limited reliance on fuel oil and diesel-fired power plants, which generated electricity at around Rs52 per hectare respectively. unit and Rs57 per unit.
Together, however, they accounted for less than one percent of the national electricity supply.
Despite the proposed increase, the country’s generation mix remained dominated by relatively cheaper domestic sources. Hydropower, which does not bear fuel costs, contributed 39 percent of total electricity production in June.
Local coal accounted for 10 percent, local gas 6.5 percent and nuclear power 13.5 percent, while wind contributed 5 percent, solar 0.82 percent and bagasse-based production 0.35 percent.
CPPA reported that electricity generated from local coal cost Rs 11.5 per unit compared to Rs 16.65 per unit from imported coal. Generation using local gas cost Rs 13.7 per unit, while RLNG-based generation stood at Rs 35.5 per unit. Nuclear power remained among the cheapest sources, with a reported fuel cost of Rs2.85 per unit.
