ISLAMABAD (Dunya News) – There’s some light at the end of the tunnel for electricity consumers, as a possible relief of Rs1.80 per unit may soon be approved under the quarterly adjustment mechanism.
According to NEPRA's official statement, the hearing on the DISCOs’ request for quarterly adjustment has been completed. The request included a proposed relief of over Rs53 billion for power consumers.
The application was submitted by distribution companies (DISCOs) for the fourth quarter of the fiscal year 2024–25. If NEPRA gives the green light, power users may see a cut of Rs1.80 per unit in their bills.
NEPRA has said that a detailed verdict will be issued after further data scrutiny. The adjustment will apply not only to government DISCOs but also to K-Electric.
Officials informed the authority that circular debt has dropped by Rs780 billion, falling from Rs2,300 billion to Rs1,600 billion, thanks to improved performance by distribution companies.
This improvement alone has helped shave off Rs200 billion from the debt.
Electricity price likely to decrease by Rs1.75 per unit
Moreover, the closure of the Neelum-Jhelum Hydropower Plant resulted in a loss of Rs18 billion, while transmission and distribution losses have gone down as well. On average, power consumption by all DISCOs has increased by 31 per ecent , except for Quetta Electric Supply Company, which saw a drop in sales.
NEPRA, however, raised questions about the claimed industrial growth in electricity consumption, as none of the DISCO CEOs could give a convincing explanation.
Officials added that the government is working on reforms in direct subsidies and cross-subsidies, and clarified that although Rs1,275 billion has been borrowed from banks, no extra surcharge will be imposed on consumers to repay it.
If approved, this relief could help ease the burden on consumers already struggling to make ends meet amid rising utility costs.