Islamabad – February 26, 2025: NEPRA concluded its hearing on K-Electric’s petition of provisional monthly fuel charge adjustments (FCA) for December 2024, as a relief of PKR 4.95 per unit. Following the public hearing, the regulator will issue a decision clarifying the FCA amount to be passed on to customer bills and the period for which they will be applicable.
Fuel charge adjustments are incurred by utilities due to global variations in fuel prices used to generate electricity, and the changes in generation mix. These costs are reflected in customer bills following NEPRA’s scrutiny and approval. Customers also benefit from negative FCA in their bills when global fuel prices decrease. Rates charged to customer bills are determined by NEPRA and notified by the Federal Government.
KE has also highlighted the adjustments regarding part load, degradation curves, startup costs pursuant to determination of Generation Tariff of Powerplants of KE for the period post June 2023 and requested NEPRA to consider the recovery of the same from negative fuel cost variation to ensure that consumers are not burdened at later stage.
As per the Regulatory Authority’s decision, the negative FCA shall be applicable to all the consumer categories except Electric Vehicle Charging Stations (EVCS), lifeline consumers, prepaid metering consumers, domestic consumers (Non-Tou) consuming upto 300 units and agricultural consumers.
