The National Electric Power Regulatory Authority (NEPRA) approved a Rs4.83 per litre increase in electricity prices for K-Electric customers on Friday.
According to a notification issued by NEPRA, the electricity tariff for K-Electric has been decided to raise by Rs4.83 per unit under fuel adjustment charges for the month of March against consumption in the raise of Rs5.27 per unit.
The NEPRA said it held a public hearing on April 27 in response to a request to raise electricity costs, and that authorisation was given to increase the power tariff for March, which will be charged in June.
After discussions with the International Monetary Fund (IMF) for the delivery of a US$1 billion tranche earlier in the day, the federal government agreed to raise electricity tariffs by Rs7 and privatization profitable public-owned DISCOs.
According to officials familiar with the issue, the Rs 7 increase in electricity prices would include a rise in the basic tariff as well as fuel adjustment charges. “The hike in power tariff will be applicable from July 01,” they says.
Furthermore, the IMF also has expressed concern over Rs2,600 billion power tariff and recommended the government immediately privatise the public-owned profitable DISCOs. It has been further recommended to handover loss-making DISCOs to regions.
Furthermore, according to the sources, the NEPRA can assist Pakistan’s Auditor General in conducting a proper audit of the country’s public-owned DISCOs. “The IMF is also pressurizing the government to immediately privatize public-owned power generation companies,” they said.