NEPRA is scheduled to hold a public hearing on KE’s application to review the proposed tariff hike. The increase, if approved, would significantly impact electricity costs for consumers in Karachi and surrounding areas.

Stakeholder Discussions and Federal Government Involvement
Key stakeholders, including K-Electric’s shareholder—a Saudi company—have reportedly discussed the tariff proposal at high-level forums. The matter has been presented to the federal government as part of efforts to attract foreign investment in K-Electric.

Impact on Tariff Differential Subsidy
If the tariff hike is approved, the tariff differential subsidy provided by the government is expected to increase. This would widen the gap between the rates charged by K-Electric and other power distribution companies (DISCOs) to Rs. 12 per unit, further straining the subsidy framework.

A formal notification regarding the tariff adjustment will be issued following the public hearing, sources added. The decision is expected to have significant implications for both consumers and the energy sector, as the government balances the need for investment in K-Electric with the financial burden on end-users.