Karachi Chamber of Commerce and Industry rejects proposed tariff hike

Trade and industry leaders in Karachi have called on the National Electric Power Regulatory Authority (Nepra) to refuse a fuel cost adjustment of Rs2.5182 per unit for July, along with a quarterly tariff adjustment of Rs1.34 per unit requested by power companies. According to Dawn, the Karachi Chamber of Commerce and Industry (KCCI) warned that the two charges combined could push struggling industries towards closure.

KCCI President Rehan Hanif said that if both adjustments were approved and applied at the same time, September electricity bills could rise by nearly Rs3.86 per unit before taxes. He added that the current QTA relief, a negative figure of Rs1.9857 per unit, lapses after August, while August invoices already reflect a fuel adjustment of Rs0.7503 per unit that is positive. Taken together, the shift from August's net position to the September proposals could top Rs5.09 per unit before tax, he said in the statement.

Hanif called the move an attack on industry rather than routine tariff setting. He argued that Prime Minister Shehbaz Sharif has repeatedly pledged lower business costs, a revival of manufacturing and faster exports, while decisions at lower levels pull in the opposite direction and undermine that agenda.