The government is increasing the price of electricity per unit by Rs 3.33 in fuel adjustment charges

• The price increase due to the monthly adjustment of fuel charges was approved.
• The positive FCA will be reflected in the July billing month for XWDISCOs.
• Changes that apply to all but a few categories of consumers.

The National Electricity Regulatory Authority (Nepra) on Friday notified a hike of Rs 3.3287 per unit in the price of electricity for the month of May 2024 due to the adjustment of monthly fuel charges (FCA), further weighing on the inflationary masses.

An official notice on the price hike said the latest adjustments have been made due to variations in fuel charges in the approved tariff of the erstwhile Wapda Distribution Companies (XWDISCOs), which will be reflected in the bills to be issued in July 2024.

It said that the said adjustment of Rs 3.3287/kWh will be applicable to all categories of consumers except Electric Vehicle Charging Stations (EVCS) and life saving consumers.

Nepra has asked all concerned XWDISCOs to keep in mind and strictly comply with the orders of the courts notwithstanding this order.

However, the increase does not apply to K-Electric as the authority has approved a reduction in electricity rates for Karachi-based consumers.

According to a separate notification, Nepra has provided relief of Rs 1.6716 per unit of electricity on account of monthly FCA in the approved tariff for the month of April 2024.

It said the price reduction will apply to all categories of consumers, except electric vehicle charging stations, consumers, agricultural consumers and domestic consumers consuming up to 300 units of electricity.

In addition, residential consumers with time-of-use (ToU) meters have also been excluded from this adjustment, regardless of their consumption level.

KE will reflect said FCA in July 2024 pricing month.

Earlier this week, the federal cabinet decided to raise electricity tariffs in a bid to implement a major International Monetary Fund (IMF) condition as the country tries to strike a staff-level deal on a more than Sh6 billion bailout. dollars. month.

The South Asian country has set challenging revenue targets in its annual budget to help it win approval from the global lender for a loan that will avert another financial meltdown, even as domestic anger grows over new tax measures.

Pakistan has set a tax revenue target of Rs13 trillion for the fiscal year that began July 1, a nearly 40 percent jump from a year earlier and a sharp decline in its fiscal deficit to 5.9 percent of gross domestic product from 7.4 % the last year.