NEPRA concluded its hearing on CPPA-G’s request for monthly fuel charge adjustments (FCA) for August 2025, in which CPPA-G presented its request of PKR 0.19 per unit. Following the public hearing, the regulator will issue a decision clarifying the FCA amount to be passed on to customer bills and the period for which they will be applicable.

Notified FCA will also apply to K-Electric (KE) customers, through tariff rationalization as approved by the Economic Coordination Committee (ECC) on August 19, 2025. Any difference between the monthly FCA rate determined for KE and the notified FCA will be made available to KE as a subsidy.

Utilities incur fuel charge adjustments due to global variations in fuel prices used to generate electricity, as well as changes in the generation mix. These costs are reflected in customer bills following NEPRA’s scrutiny and approval. Customers also benefit from negative FCA in their bills when global fuel prices decrease. Rates charged to customer bills are determined by NEPRA and notified by the Federal Government.

As per the Regulatory Authority’s decision, the FCA shall apply to all consumer categories except lifeline consumers, domestic protected consumers, Electric Vehicle Charging Stations (EVCS), and prepaid electricity consumers of all categories who have opted for a prepaid tariff.