K-Electric (KE) has submitted a provisional adjustment for the monthly fuel charge (FCA) for November 2024, suggesting a PKR 4.98 per kWh reduction for its customers.
The National Electric Power Regulatory Authority (NEPRA) will hold a public hearing on January 15, 2025, to finalize the FCA amount to be included in customer bills and its duration, as indicated by KE.
For the November FCA, the Central Power Purchasing Agency-Guaranteed (CPPA-G) proposed a negative adjustment of 0.63 paise per unit for XWDiscos’ tariffs.
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This submission marks the third consecutive FCA that KE has passed on as savings to its customers, following reductions of 0.16 paisa in September and 0.27 paisa in October.
Fuel charges are adjusted due to worldwide variations in fuel prices and shifts in the electricity generation mix. If fuel prices rise, these adjustments are reflected in bills, whereas price decreases result in savings that benefit consumers through lower FCAs.
All FCAs are calculated according to regulatory guidelines and are incorporated into bills after NEPRA’s scrutiny and approval.
