The National Electric Power Regulatory Authority (NEPRA) has rejected K-Electric’s appeal against a reduction in its average base electricity tariff, retaining a 19% cut approved earlier.
Under the decision, K-Electric’s average base tariff will remain at Rs32.37 per unit, down Rs7.60 from the Rs39.97 per unit tariff approved in 2025. The decision keeps the reduced tariff structure intact, although it will not provide any immediate reduction in electricity bills for around 3.5 million consumers in Karachi.
The revised tariff includes several major cost components. Electricity purchase costs account for approximately Rs27.83 per unit, while transmission expenses stand at around Rs2.40 per unit. Distribution costs make up another Rs2.90 per unit.
The tariff calculation also includes a credit of approximately Rs0.78 per unit under supply-related costs, which forms part of the overall adjustment in the approved tariff structure.
K-Electric had challenged NEPRA’s decision to reduce its average base tariff and sought a review of the regulator’s determination. The company argued against the reduction and appealed the decision through the relevant legal forum.
However, the appellate tribunal rejected K-Electric’s appeal, leaving the regulator’s earlier determination unchanged. As a result, the average base tariff of Rs32.37 per unit will continue to apply.
The decision settles the company’s challenge to the tariff reduction at the appellate level, while consumers will continue to receive electricity under the existing approved tariff framework.
