Federal Energy Minister Sardar Awais Khan Leghari has announced a 3 rupees and 82 paisa per unit reduction in electricity tariffs for April.
The reduction of electric tariff stems from quarterly and fuel price adjustments, which are influenced by fluctuations in the dollar rate.
In a detailed statement, Minister Leghari highlighted that the adjustment for fuel prices on this month’s bills has been lowered from 7 rupees and 6 paisa per unit to 4 rupees and 92 paisa. He further explained that the first quarterly adjustment, originally set at 4 rupees and 43 paisa, has been revised to 2 rupees and 75 paisa. This adjustment accounts for a total reduction of 1 rupee and 68 paisa per unit in the electricity bills.
The Minister emphasized the government’s commitment to easing financial pressures on the public per the Prime Minister’s directives to maximize relief efforts.
Leghari outlined the role of the National Electric Power Regulatory Authority (NEPRA) in setting the ‘reference tariff’ at the beginning of each year. This tariff is a benchmark for monthly fuel price adjustments based on the actual costs incurred for electricity generation. He noted that consumers enjoy reduced rates when fuel costs exceed the NEPRA-set price. Conversely, if fuel costs exceed the set price, the difference is collected to prevent an increase in the national deficit.
He reiterated that NEPRA’s monthly determination of fuel price adjustments is crucial for managing the energy sector’s financial stability and avoiding additional burdens on the national deficit.
Minister Leghari reported a reduction of 2 rupees and 14 paisa in fuel prices, which further contributed to the lowered electricity rates for the month.
