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Power producers have formally requested the government to raise electricity tariffs by Rs. 1.64 per unit for April 2026, under the fuel cost adjustment mechanism. This comes after a Rs. 1.63 per unit increase already applied earlier this month.

The Central Power Purchasing Agency (CPPA) submitted the proposal to the National Electric Power Regulatory Authority (NEPRA), citing higher fuel expenses for electricity produced in February. If approved, the increase would impose an estimated Rs. 12.2 billion additional cost on consumers nationwide.

Electricity demand in February grew by roughly 11.42% compared to the same month last year, though it fell about 15% from January 2026 levels.

Despite over 75% of electricity being generated from domestic and comparatively cheaper sources, the average fuel cost rose to Rs. 8.37 per unit, exceeding the reference cost of Rs. 6.74 per unit.

NEPRA has scheduled a public hearing on March 31 to assess the proposed hike. If approved, the extra charge will be applied for one month under the standard fuel cost adjustment system.

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