The National Electricity Regulatory Authority (NEPRA) has approved a significant increase in the basic electricity tariff by $5.72 per unit in the financial year 2024-25.
The decision has been sent to the federal government for final approval.
Beginning July 1, 2024, the average electricity rate will increase from $29.78 to $35.50. The Federal Cabinet will take the final decision on the implementation of this rate hike.
Instead, Prime Minister Shehbaz Sharif reduced the price of electricity for production and export by $10.69 per unit. The new electricity price for the industry will be $34.99 per unit. This move is expected to give a significant boost to industrial development leading to faster employment opportunities and economic growth. The government estimates that the move will cost the industry more than $200 billion.
NEPRA’s approval reflects ongoing reforms in the power sector, efforts to support economic growth through industry incentives and necessary price hikes.
