The National Electric Power Regulatory Authority (NEPRA) has reduced the average tariff of Karachi’s sole power utility, K-Electric Limited (KE), setting it at Rs32.37 per unit.
According to details, the tariff reduction is expected to significantly impact K-Electric’s revenues. The new rate replaces the previously announced Rs39.97 per unit, which NEPRA had approved on May 27, 2025.
In a notice sent to the Pakistan Stock Exchange (PSX) on Tuesday, K-Electric stated that NEPRA’s decision is unsustainable for the company and could have considerable implications for all stakeholders, including consumers.
The company said it is reviewing the decision in detail and will consider all legal and regulatory options available under the applicable framework.
This development follows NEPRA’s review of a federal government request challenging its earlier decision. As a result, the authority has revised K-Electric’s multi-year base tariff for the fiscal years 2024–2030, leading to a downward adjustment.
In its new determination, NEPRA maintained its previous stance regarding K-Electric’s Rs50 billion worth of write-off claims, stating that it found no reason to amend or modify the earlier ruling.
However, the regulator introduced certain adjustments to aspects related to transmission, generation, and supply tariffs within its earlier decision.
The review petitions were filed by the Power Division, Tanveer Barry, Arif Balwani, Member of the National Assembly Syed Hafeezuddin, and Jamaat-e-Islami Karachi.
