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Nepra to hold public hearing on FCA refund on August 28, details of power generation and fuel charges

Muhammad Ali (Web Desk Reporter) by Muhammad Ali (Web Desk Reporter)
August 22, 2025
in Latest
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Islamabad: The National Electric Power Regulatory Authority (Nepra) will hold a public hearing on August 28 to review the application for monthly Fuel Charges Adjustment (FCA) refund submitted by the Central Power Purchasing Agency (CPPA). The purpose of the hearing is to see whether the refund is in accordance with the economic merit order.

According to the CPPA, the country’s electricity generation in July totaled 14,123 gigawatt hours (GWh), with an average cost of Rs 7.781 per unit. During this period, hydropower accounted for the highest share, accounting for 40.1 percent (5,668 GWh) of the total generation.  The production based on RLNG was 2,438 GWh, at a cost of Rs 22.03 per unit.

Local coal generated 1,503 GWh, imported coal 1,140 GWh, while nuclear energy provided 1,405 GWh of electricity at a cost of just Rs 2.42 per unit. Local natural gas generated 1,093 GWh, at a cost of Rs 13.379 per unit.

The Ministry of Energy, after approval from the Economic Coordination Committee (ECC), has directed NEPRA to make the FCA policy uniform across the country, be it ex-WAPDA discos or K-Electric. Under this, the FCA rates and duration will be the same for all, and the difference between FCA and notified rates in K-Electric bills will be met through subsidies or cross-subsidies.

The uniform FCA policy has been in effect since June 2025 and is being included in consumer bills for August.

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Muhammad Ali is a Web Desk Reporter at The Pakistan Observer, contributing to the publication’s digital news coverage with a focus on timely, accurate and reader-friendly reporting.

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