ISLAMABAD: Electricity consumers are likely to face a fresh financial burden as distribution companies (Discos) have requested a Rs1.27 per unit increase in Fuel Cost Adjustment (FCA) for April 2025, following a 22% surge in power consumption compared to April last year.
If approved by the National Electric Power Regulatory Authority (Nepra), this adjustment will translate into an additional Rs13 billion in billing for June. The increase comes after eight consecutive months of negative adjustments and follows a 20% base tariff hike effective from July 1, 2024.
According to the Central Power Purchasing Agency (CPPA), which submitted the petition, electricity consumption in April reached 10,196 GWh—up from 8,375 GWh in April 2024 and 8,114 GWh in March 2025. Despite the rise, the average fuel cost per unit slightly decreased to Rs8.95 compared to Rs8.98 last year.
Nepra has scheduled a public hearing on May 29 to evaluate the petition, which seeks an adjustment over the reference fuel cost of Rs7.68 per unit.
In April, 68% of electricity came from domestic sources, with 28% having zero fuel cost. Hydropower contributed 22%, RLNG 21.5%, nuclear 18%, and coal (local and imported) nearly 25%. Renewable sources, including wind and solar, added 6% at no fuel cost.
Among the priciest sources, RLNG-based generation cost Rs24.26 per unit, imported coal Rs16.61, and electricity imported from Iran Rs25.34 per unit.
The proposed hike underscores growing pressure on consumers as summer demand and generation costs rise.
