NEPRA Considers Next Electricity Nightmare for Farmers

The National Electric Power Regulatory Authority (NEPRA) is set to evaluate Pakistan's Prime Minister's power package for industrial and agricultural consumers on October 5th. This six-monthly review will address three critical matters: the potential temporary suspension of the package due to fuel prices, the necessity of a tariff increase aligned with actual marginal costs, and the timing of any revised tariff implementation. NEPRA may opt for effective dates in June 2026 or October 2026, or any other appropriate period.

The review aims to strike a balance between costs and revenue within the confines of the approved package. The regulatory body will assess the adjusted marginal tariff as part of this evaluation. NEPRA has received plant-wise hourly generation data, monthly electricity consumption records, information on subsidized consumption, and data on the system's hourly marginal cost from the Power Division to support this assessment.

Currently, industrial and agricultural consumers benefit from additional electricity at a rate of Rs. 22.98 per unit, a significant reduction from the previous rates of approximately Rs. 34 per unit for industrial consumers and Rs. 38 per unit for agricultural consumers. This concession, part of the Prime Minister's Roshan Maeeshat Power Package, remains in effect until October 2028 and is available to all industrial and agricultural consumers in Pakistan, including those served by K-Electric.

The Roshan Maeeshat Power Package was introduced by the Prime Minister to bolster the growth and competitiveness of Pakistan's industrial and agricultural sectors.