• K-Electric requested a provisional monthly fuel charge adjustment (FCA) for January 2025.
• NEPRA will issue a decision clarifying the FCA amount and period.
• NEPRA approved KE’s petition for a provisional monthly FCA for December 2024.

K-Electric requested a provisional monthly fuel charge adjustment (FCA) for January 2025, proposing a relief of Rs4.84 per kWh for customers.

K-Electric said “, Following a hearing, yet to be announced, the National Electric Power Regulatory Authority (NEPRA) will issue a decision clarifying the FCA amount to be passed on to customer bills and the period for which they will be applicable”.

Additionally, NEPRA approved KE’s petition for a provisional monthly Fuel Charges Adjustment (FCA) for December 2024, granting a relief of PKR 3.00 per kWh. Customers will receive this adjustment in their March 2025 bills.

K-Electric stated that NEPRA has provisionally withheld PKR 2.01 billion from the December 2024 FCA. This amount covers adjustments for partial load, open cycle, degradation curves, and startup costs, as per NEPRA’s decision on the Generation Tariff for the control period starting July 2023. The withheld amount will be adjusted against KE’s pending claims to prevent future consumer burden.

Utilities incur fuel charge adjustments due to global fluctuations in fuel prices and changes in the generation mix. NEPRA reviews and approves these costs before reflecting them in customer bills. When global fuel prices drop, customers receive benefits through negative FCA in their bills.

NEPRA determines the rates for customer bills, and the Federal Government issues notifications. According to the Regulatory Authority’s decision, the FCA will apply to all consumer categories except lifeline consumers, domestic protected consumers, Electric Vehicle Charging Stations (EVCS), and prepaid electricity consumers who have chosen the prepaid tariff.