Govt seeks to increase electricity tariff for Karachiites by another Rs10.32

Despite strong opposition from Karachi-based industrial and political leaders and serious concerns from members of the National Electric Power Regulatory Authority (Nepra) over the detrimental economic impact of rising energy prices, the Power Division on Monday sought staggered application of about Rs10 per unit increase in K-Electric’s applicable tariff. At a public hearing presided over by Nepra Chairman Waseem Mukhtar, the regulator’s case officers said the three separate quarterly tariff adjustments demanded by the Power Division worked out an increase of Rs8.70 per unit in KE’s average tariff but the cumulative impact rose to Rs11 per unit after taking into account the general sales tax. For industry, the tariff increase, excluding 18pc GST, would be Rs10 per unit. “This is terrible. How would the consumers absorb this and how would industry survive”, questioned Nepra’s member Tariff representing Balochistan Muthar Niaz Rana who noted that electricity rates for industry without taxes would reach Rs47 per unit from Rs37 at present. He was told that the domestic tariff for those above 700 units would also be increased to Rs52 per unit (excluding taxes, surcharges and various levies) from Rs42 at present.