Discos/KE to pass on Rs 53.4 bn relief to consumers for fourth quarter of FY 2024-25

ISLAMABAD: The federal government is set to pass on a financial relief of Rs 53.4 billion to electricity consumers across the country, including those served by K-Electric, under the Quarterly Tariff Adjustment (QTA) mechanism for the fourth quarter of the fiscal year 2024–25.
The National Electric Power Regulatory Authority (NEPRA) is scheduled to hold a public hearing on August 4, 2025, on a petition submitted by the Central Power Purchasing Agency – Guaranteed (CPPA-G) on behalf of the distribution companies (Discos). The petition seeks a negative adjustment of Rs 53.393 billion, primarily due to reduced capacity payments following Negotiated Settlement Agreements (NSAs) between the Government of Pakistan and Independent Power Producers (IPPs) or Government Power Plants (GPPs).
According to data shared with Nepra, Islamabad Electric Supply Company (IESCO) has sought negative adjustment of Rs 1.040 billion for fourth quarter; Lahore Electric Supply Company (LESCO) Rs 12.758 billion, Gujranwala Electric Power Company (GEPCO) Rs 6.132 billion , Faisalabad Electric Supply Company (FESCO) Rs 15.579 billion, Multan Electric Power Company (MEPCO) Rs 8.457 billion, Peshawar Electric Supply Company (PESCO) Rs 2.7 billion, Hyderabad Electric Supply Company (HESCO) Rs 6.818 billion, Quetta Electric Quetta Supply Company (QESCO) + Rs 3.594 billion, Sukkur Electric Supply Company (SEPCO) Rs 504 million and Tribal Electric Supply Company (TESCO) – Rs 2.985 billion. The total requested amount for variable O&M is 182 million, Use of System Charges (UoSC) and Market Operator Fee (MOP) Rs 804 million and impact of incremental units negative Rs 662 million.
According to NEPRA, in the light of policy guidelines issued by the federal government for application of uniform quarterly adjustments, the fourth quarterly adjustment for FY 2024-25 of Discos to be determined by the Authority, shall also be applicable on the consumers of K-Electric.