K-Electric flags substantial adverse impact from tribunal order

K-Electric has told the PSX that a ruling from the NEPRA Appellate Tribunal would cause a substantial adverse impact on its Multi-Year Tariff covering FY2024 to FY2030, leaving the framework financially unsustainable, according to Mettis Global. The utility noted the order has not yet been formally delivered. Even so, NEPRA reissued its October 20, 2025 determinations on the tribunal's direction, a step that indicates the tribunal did not weigh the arguments put forward by KEL's counsel.

The dispute traces back to October 2025, when NEPRA ruled on review motions against KEL's MYT determinations. The regulator kept its stance on write-off claims for 2017 to 2023, but revised most other elements, including the generation, transmission, distribution and supply tariffs. The average tariff was reduced to Rs32.37 per kWh, down from Rs39.97 per kWh fixed on May 27, 2025.

KEL first challenged the decision before the tribunal under Section 12-G of the NEPRA Act, 1997. As the tribunal was not yet functional, it also went to the Sindh High Court, which in November 2025 barred coercive action until the next hearing. In April 2026 the court closed the petitions, told the tribunal to rule within three months and kept interim relief in place. The company intends to pursue remedies in law after obtaining the complete order in writing.