Islamabad: The National Electric Power Regulatory Authority (Nepra) has approved an increase in the average hydropower tariff for the financial year 2025-26. Under the new decision, the average price per unit of hydropower has been increased compared to the previous one; however, its formal implementation will be after the federal government issues a notification.
According to the NEPRA decision, the average tariff for hydropower has been fixed at Rs 4.81 per unit, while earlier it was Rs 3.83 per unit. Thus, the average tariff has been increased by about 98 paise per unit.
Providing details about the tariff, WAPDA Member Finance Naveed Asghar said that the new price has been fixed for the financial year 2025-26. According to him, the tariff has been determined keeping in mind the production costs of hydropower and related financial factors.
NEPRA’s decision will not come into effect immediately, but a formal notification will be issued by the federal government for this, after which the new rate will be applicable.
According to energy sector experts, hydropower is considered an important source of electricity generation at a relatively low cost in the country. They say that tariff changes are part of the regulatory process and aim to strike a balance between production costs, financial needs and the sustainability of the electricity sector.
Experts add that the potential impact on consumers will depend on the conditions under which the federal government implements the decision in the notification and how the change is integrated into the overall tariff structure.