The National Electric Power Regulatory Authority (Nepra) on Friday approved a hike in the national average power tariff by Rs4.96 per unit for the current fiscal year.

“The revised national average tariff for the FY2023-24 has been determined as Rs.29.78/kWh, which is Rs.4.96/kWh higher than the previously determined national average tariff of Rs. 24.82/kWh,” the power regulator said in a press release.

It added that the increase in the tariff was “mainly due to overall low sales growth, rupee devaluation, high inflation, exorbitant interest rates and addition of new capacities”, among other factors.

“The determined tariffs are intimated to the federal government to file uniform tariff application. The uniform tariff so determined by the Nepra after incorporating the amount of subsidy/ surcharges as intimated by the government, is notified by the government to be charged from the consumers,” the press release read.

According to it, the Multan Electric Power Company (Mepco), Gujranwala Electric Power Company (Gepco), Hyderabad Electric Supply Company (Hesco), Sukkur Electric Power Company (Sepco), Quetta Electric Supply Company (Qesco), Peshawar Electric Supply Company (Pesco) and Tribal Electric Supply Company (Tesco) had filed adjustment/indexation request under multi-year tariff regime for FY 2023-24.

Similarly, it added, Islamabad Electric Supply Company, Lahore Electric Supply Company and Faisalabad Electric Supply Company had filed multi-year tariff petitions for FY2023-24 to FY2027-28 and also requested an interim tariff for FY2023-24.

“The Authority, has accordingly, determined the consumer-end tariff for FY 2023-24,” the press release stated.

According to the press release, the total revenue requirement of ex-Wapda distribution companies (Discos) was projected at Rs3,281 billion with projected sales of 110,165 gigawatt-hours for the current fiscal year.

It added that any relief from a decrease in the tariff — due to rupee appreciation, decrease in inflation and interest rates or any other reason — would be “directly transferred to the consumers in future”.

Fuel cost adjustment for KE consumers

Separately, Nepra notified an increase of Rs1.45 per unit for K-Electric (KE) consumers on account of fuel cost adjustment (FCA) for electricity consumed in May.

The Nepra notification said the FCA was applicable to all consumers except lifeline consumers and should be reflected in bills for July.

It added that KE was allowed to recover the FCA in August’s bills for consumers whose bills were issued before this notification was issued.