NEPRA Delays Rs0.37/Unit FCA Cut Decision

ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) has postponed its ruling on a negative fuel charge adjustment (FCA) of Rs0.3681 per unit for September 2025, following a Wednesday public hearing on the Central Power Purchasing Agency-Guarantee (CPPA-G)’s plea.

CPPA-G argued that September’s lower fuel costs stemmed from an optimized generation mix and softening global fuel prices, justifying the negative adjustment. NEPRA will now scrutinize the data before finalizing the consumer relief and its billing month.

Once approved, the negative FCA will apply to all consumer categories except lifeline consumers, protected domestic users, electric vehicle charging stations (EVCS), and prepaid meter holders. The relief will also cover K-Electric (KE) customers via the tariff rationalization mechanism endorsed by the Economic Coordination Committee (ECC) on August 19, 2025, with government subsidies bridging any FCA-uniform tariff gaps.

Fuel charge adjustments, a monthly ritual, mirror global energy price fluctuations and their ripple on generation costs. While rising fuel prices inflate bills, negative FCAs deliver respite amid easing international markets.

If greenlit, the Rs0.37 per unit reduction will offer vital relief to millions grappling with inflation and sky-high electricity tariffs.