Business

Power Plants Want Govt to Increase Electricity Rates for April 2026 Bills

Power companies have requested another increase of Rs. 1.64 per unit in electricity bills for April under the fuel cost adjustment mechanism, following a Rs. 1.63 per unit hike already charged this month.

The Central Power Purchasing Agency (CPPA) submitted the request to the National Electric Power Regulatory Authority (NEPRA), claiming higher fuel costs for electricity generated in February. If approved, the move will add an estimated Rs. 12.2 billion burden on consumers across the country.

Electricity demand rose by about 11.42 percent compared to the same month last year, although it declined by around 15 percent from January 2026 levels.

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Despite more than 75 percent of power generation coming from local and relatively cheaper sources, the average fuel cost increased to Rs. 8.37 per unit, compared to the reference cost of Rs. 6.74 per unit.

Nepra has scheduled a public hearing on March 31 to review the proposed increase. If approved, the additional charge will be applied to consumers for one month under the standard monthly fuel cost adjustment mechanism.

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Published by
Muhammad Bilal