More burden on consumers as Discos seek FCA hike

With a massive 22 per cent surge in power consumption in April compared to last year, the electricity price hike has once again returned to burden consumers, as public sector distribution companies (Discos) have sought a Rs1.27 per unit increase in the fuel price adjustment (FCA) for electricity consumed in April. If approved, the ex-Wapda Discos would charge about Rs13 billion more from consumers in the month of June. The higher consumption is attributed to the early onset of high temperatures compared to last year. The increase in fuel cost follows eight months of negative monthly adjustments and comes amid substantially higher costs permitted by the National Electric Power Regulatory Authority (Nepra) through a 20pc increase in the base tariff, effective July 1, 2024. More than 68pc of the total power supply during April was derived from domestic fuel sources, with almost 28pc of that at zero fuel cost.