Govt rules out rise in average base power tariff

The federal government has decided not to raise the average base electricity tariff.

The decision will bring relief to the power consumers nationwide. The Power Division has informed the National Electric Power Regulatory Authority (Nepra) that the government will not increase the average base tariff.

During a hearing on a possible adjustment to the average base tariff, it was stated that subsidies have been adjusted and, as a result, no increase in the tariff is taking place.

At a separate Nepra hearing on a petition seeking a uniform electricity rate for consumers across the country, officials of the Power Division said that the energy mix has changed since July. They told the authority that subsidies amounting to Rs629 billion are currently being provided to consumers in all categories.

During the proceedings, industrial consumers urged the Power Division and the authority to reduce electricity prices to protect industry. They said electricity for industrial users costs between five and seven cents in China, while in Pakistan it stands at 13 cents, and should be brought down to at least nine cents.

After hearing the views of stakeholders, the authority concluded the hearing. It said a detailed decision would be issued after reviewing the data. The Power Division requested Nepra to announce the decision within the billing cycle, to which the authority assured an early ruling.