Power consumers to get Rs0.65 per unit relief in August bills

ISLAMABAD: State-run power distribution companies have proposed a refund of Rs0.654 per unit to electricity consumers in August bills, citing lower fuel charges in June 2025, according to a petition filed with the National Electric Power Regulatory Authority (Nepra).

The Central Power Purchasing Agency (CPPA), acting on behalf of the Discos, submitted the application under the monthly Fuel Charges Adjustment (FCA) mechanism. Nepra has scheduled a public hearing on July 30 to determine whether the requested refund aligns with the economic merit order.

In June, power generation totaled 13,744 gigawatt-hours (GWh) at an average cost of Rs7.8698 per unit, resulting in a total fuel cost of Rs108.17 billion. After accounting for 2.97pc transmission losses, 13,310 GWh were delivered to Discos at Rs7.68/unit. The figure includes Rs4.83 billion in prior-period consumer refunds, translating to Rs0.3516/unit.

Compared to June 2024, when generation was 13,459 GWh at Rs8.893/unit, June 2025 saw a drop in per-unit cost — a key factor behind the proposed relief.

Hydropower dominated the generation mix, contributing 39.36pc (5,410 GWh), a 14.4pc increase over the previous year (4,729GWh). It was followed by RLNG-based generation contributing 16.12pc (2,216 GWh) at Rs21.87 per unit. Interestingly, last year in same month, the generation rom RLNG was 2,437 GWh.

Local coal in June 2025 contributed 1,510 GWh of electricity at Rs11.5/unit against 1,489 GWh (Rs11.029/unit) in June 2024. Generation from imported coal stood at 1,397GWh at Rs15.16/unit against 637GWh at Rs15.535/unit in June 2024.

The nuclear energy generation contributed 10.06pc (1,383 GWh) at Rs2.4488/unit. Last year in June, the generation from this source was 1,998GWh at Rs1.525/unit. Interestingly, the year-on-year generation declined 30.78pc, but its cost significantly increased by 60.6pc.

Local natural gas-based generation stood at 968GWh (Rs12.388/unit), against 1,166 GWh (Rs13.927/unit) a year ago.

No electricity was generated from diesel. RFO-based generation was 151GWh (at Rs28.887/unit). Similarly, wind, solar, and bagasse-based sources added 3.8pc (522GWh), 0.77pc (106 GWh), and 0.25pc (35GWh), respectively.