KARACHI: The Korangi Association of Trade and Industry (KATI) has strongly opposed the National Electric Power Regulatory Authority (NEPRA) and Power Division’s decision to impose Fuel Cost Adjustment (FCA) and Fuel Cost Component (FCC) charges on K-Electric (KE) consumers for the fiscal year 2023–24, calling the move unfair and detrimental to Karachi’s industrial economy.
KATI President Muhammad Ikram Rajput condemned the decision, describing it as “unacceptable” and a direct blow to both the people and industries of Karachi. Citing NEPRA’s own documents, he revealed that the measure would extract nearly Rs28 billion from KE consumers — while the Rs33 billion relief package promised to Karachi’s industries during the Covid-19 pandemic remains undelivered.
“Instead of fulfilling earlier commitments and providing relief, the government is imposing additional financial burdens that threaten to cripple Karachi’s industrial base,” Rajput warned.
He further criticised NEPRA for undermining its transparency claims by revisiting past rulings and adding new liabilities while K-Electric’s multi-year tariff (MYT) is still under review, creating greater uncertainty for investors and businesses.
Rajput noted that although KE’s current tariff of Rs32.57 per unit is lower than that of other power distribution companies, Karachi’s industries are effectively being forced to subsidise loss-making utilities in other regions — a situation he termed “grossly unjust and unacceptable.”
KATI has urged the federal government and NEPRA to withdraw the additional charges immediately and prioritise policies that support industrial sustainability and fair power pricing.
