Nepra slashes power tariff for Karachi

The National Electric Power Regulatory Authority (NEPRA) announced on Monday a reduction in electricity rates by Rs0.18 per unit for local consumers in Karachi.

This adjustment, made under the monthly tariff adjustment mechanism, will be reflected in the December 2024 electricity bills for K-Electric customers.

NEPRA issued a notification confirming the reduction, which pertains to the monthly adjustment for September 2024.

The price cut will provide some relief to consumers, but it will not apply to those who use up to 300 units of electricity per month.

This decision is part of NEPRA's regular process of adjusting electricity tariffs to reflect changes in the cost of power generation and other factors affecting the sector.

Earlier, the Kot Addu Power Company Limited (Kapco) has proposed an offer to supply electricity to K-Electric at an exceptionally low rate of Rs9.8 per unit, potentially bringing affordable solar energy to the people of Karachi.

This proposal was communicated in a letter sent to the Pakistan Stock Exchange (PSX), where Kapco expressed its commitment to providing low-cost solar power.

According to the letter, the offered rate is based on an exchange rate of Rs288.65 to the dollar, with the solar power project estimated to reduce the cost of electricity to 3.4 US cents per kilowatt.

Kapco plans to develop the solar energy project in Deh Halkani, located in Karachi's South District.