Discos Seek Rs4bn Additional Recovery Through December Fuel Cost Adjustment

Electricity-Price

Islamabad: Power distribution companies (Discos) have moved to recover an additional Rs4 billion from electricity consumers by seeking a 48 paisa per unit increase in fuel cost adjustment (FCA) for December, to be charged in February bills, despite over 72 per cent of power generation during the month coming from cheaper domestic and largely zero-cost fuel sources.

The request was filed by the Central Power Purchasing Agency (CPPA) and applies to consumers of all power companies, including ex-Wapda Discos and K-Electric. The National Electric Power Regulatory Authority (Nepra) has scheduled a public hearing on January 29 to consider the petition.

The move comes days after the government declined to pass on a 62 paisa per unit reduction in the base national tariff for the current fiscal year. Authorities said the savings were absorbed by the rapidly growing number of highly subsidised “protected” consumers, which has risen to 22 million from around 9.5 million over the past three years, with their electricity consumption also doubling.

According to CPPA, electricity demand in December was about 9 per cent higher than the same month last year but 15 per cent lower compared to November 2025. If approved, the proposed FCA increase will further add to consumer bills at a time of mounting concerns over affordability and transparency in power sector cost adjustments.

Story by Khaleeq Kiani

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