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Electricity Tariff Relief Likely as NEPRA Reviews Cost Reduction Petition on May 19

Electricity consumers across the country may see some financial relief as NEPRA prepares to assess a quarterly tariff adjustment petition scheduled for hearing on May 19.

The petition relates to the first three months of 2026 and presents a significant reduction in several major cost components within the power sector. Among the most notable figures is a decline of Rs36.83 billion in capacity charges, indicating reduced obligations toward generation agreements.

In addition, operational elements such as system usage charges and market-related fees have shown a combined reduction of Rs 11.24 billion, reflecting improved cost efficiency during the review period.

The submission also includes a proposed adjustment of Rs 23.51 billion under incremental electricity units, further strengthening the case for downward tariff revision.

If approved, the adjustment could benefit consumers nationwide, including those served by K-Electric, through reduced electricity bills at a time when inflation continues to pressure household budgets.

NEPRA will hear all relevant parties during the upcoming session before issuing its final determination. The regulator will also define the extent of relief and the mechanism for its implementation after evaluating all financial and technical submissions.

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