NEPRA reviews incremental consumption package

The Power Division has asked the National Electric Power Regulatory Authority (Nepra) to review an incentive scheme for industrial and agricultural power users, according to The Express Tribune. Nepra held a public hearing on Monday, where a tariff of Rs22.98 per kWh was fixed under the package. The package was approved on December 9, 2025, and formally notified a day later to run for three years.

The division argues that average marginal costs have stayed above the fixed rate for several months, with the weighted average reaching Rs27.58 per kWh from December through May. In April the average marginal cost peaked at Rs36.71 per kWh, while the loss-adjusted figure rose to Rs42.37 per kWh. The package also carries a safeguard that triggers a review when combined consumption rises above 25% of the baseline, and the threshold was crossed in January, February and April, with April recording 34.81%.

Two interveners have put forward different remedies at the hearing. Rehan Javed wants the rate revised to actual marginal cost from June 2026 and refunds for non-beneficiary consumers, while Amir Sheikh says the package raises cross-subsidy costs for domestic and commercial users and calls for suspension. The hearing outcome will decide whether the rate is raised or the package is suspended.