ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) has scheduled a public hearing on November 26 to consider the federal government’s proposed winter incentive package aimed at boosting electricity demand during the low-consumption months.
The subsidy-neutral package, approved by the Economic Coordination Committee (ECC) on November 19, is set to be implemented from December 1, 2024, to February 28, 2025. It offers discounted electricity rates for residential, commercial, and industrial consumers on incremental usage, with discounts ranging from 18% to 50% based on consumption slabs.
The initiative seeks to counteract declining power demand, which has dropped by 6% in winter 2023 and a further 8% in FY24 due to economic challenges and rising tariffs. The Power Division anticipates a 16% increase in electricity consumption under the package, aligning with the success of similar initiatives in FY20, FY21, and FY22.
Karachi Electric (KE) consumers, however, may face challenges as past packages were hindered by legal stays. The ECC emphasized that the initiative would reduce gas demand by shifting energy usage to electricity.
Public comments have been invited, though NEPRA has not disclosed the formula for calculating “incremental consumption” based on the previous three years’ data.
Story by Khaleeq Kiani
