Pakistan may see another rise in electricity bills in 2026, as the National Electric Power Regulatory Authority (NEPRA) has started reviewing a new proposal to increase the national power purchase price for the upcoming fiscal year. If approved, this adjustment could raise electricity costs for households, businesses, and industries across the country.
Why Electricity Prices May Rise in 2026
During a public hearing held on Tuesday, the Central Power Purchasing Agency (CPPA) recommended setting the national power purchase price between Rs 25.69 and Rs 26.69 per unit for FY2026.
This rate is a crucial benchmark because it directly influences the tariff charged to electricity consumers nationwide.
Businesses and experts fear that approving the new price range could:
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Push power tariffs even higher
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Increase production costs
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Slow down industrial and economic growth
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Reduce competitiveness of Pakistani industries in the global market
Nepra Raises Questions About CPPA Data
The hearing was chaired by NEPRA Chairman Wasim Mukhtar, where CPPA officials defended their proposal based on:
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Forecasted electricity demand
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Expected trends in fuel costs
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Predicted exchange rate of the US dollar
However, NEPRA Member Rafiq Ahmed Sheikh criticized the submitted data, calling it incomplete and unreliable.
He emphasized that assumptions about demand and fuel costs must be backed by solid evidence before any rate changes are approved.
NEPRA assured that it will gather feedback from industry stakeholders before finalizing the new power purchase price.
Business Community Strongly Opposes the Increase
Representatives from Pakistan’s top business associations expressed serious concern during the hearing.
Key objections from business leaders:
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“Electricity will not become cheaper.”
Rehan Javed from FPCCI warned that long-term high electricity prices are damaging industrial competitiveness. -
“Don’t inflate the exchange rate assumption.”
Tanveer Bari of KCCI stressed that even slight depreciation of the rupee drastically increases fuel and power generation costs.
The business sector fears that another year of expensive electricity will worsen financial challenges for manufacturers and exporters.
What Happens Next?
NEPRA will continue reviewing CPPA’s proposal over the upcoming weeks.
A final decision on the national power purchase price for FY2026 is expected later this year.
If the proposed range is approved:
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Electricity bills for residential consumers may rise
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Industrial and commercial units could face higher tariffs
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Production costs may increase across multiple sectors
Consumers and businesses are advised to stay updated as NEPRA completes its review and releases the final tariff determination.