NEPRA proposed fixed charges on electricity bills in Pakistan from July

The National Electric Power Regulatory Authority (NEPRA) has proposed fixed charges on electricity bills, that will be implemented from July 1, 2024. NEPRA has finalized this new power tariff plan for residential and commercial customers who will pay monthly fixed rates.

Hence, the Federal Government of Pakistan has reportedly received this proposal from NEPRA to approve the imposition of fixed charges. According to this proposal, fixed charges in electricity bills would range from PKR 200 to PKR 1,000 per month.

*NEPRA made a new tax plan for electricity consumers*

This proposal states that:

Domestic customers using 301-400 monthly units will pay fixed fees of PKR 200.

Customers with unit consumption between 401-500 units will pay PKR 400 monthly.

Electricity consumers up to 501-600 units will pay PKR 600.

Residential users using 601-700 units will pay PKR 800 per month.

Electricity customers consuming more than 700 units will pay PKR 1000 per month.

Domestic users of the ToU (time of usage) meter will pay a fixed monthly charge of PKR 1000.

ToU is a programmable electronic device that measures and records electric energy in pre-specified periods. However, NEPRA has also proposed fixed charges on electricity bills for commercial customers. The following are fixed charges for them:

Commercial customers with consumption under 5kW would pay PKR 1000.

Businesses with electricity consumption of 5kW or more will pay PKR 2000.

*If the government approves the NEPRA proposal, it will increase the massive burden on electricity consumers*

Click here to read the updates on Discos proposing a massive hike in electricity bills amid inflation

However, the above charges are 300 percent increased from the previous PKR 500 for electricity consumption with 5kW or above.

NEPRA proposed these fixed electricity charges to help DISCOS (electricity distribution companies) boost their revenue. However, this move will further increase the burden on consumers hit by record-high unit prices.

On the other hand, the federal government has increased power tariffs by PKR 5.72 per unit to increase the burden on electricity consumers following the release of Budget 2024-25.