# Nepra Raises Industrial Electricity Tariff Amid Internal Regulatory Dissent Regulator approves rate hike to Rs25.30 while imposing additional fuel cost adjustments. - **Source:** [Dawn](https://www.dawn.com) - **Published:** 2026-11-07 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/6112f089-2488-4b55-9a93-300c93625479 ## Regulatory Tariff Adjustment The National Electric Power Regulatory Authority has officially increased the special industrial electricity tariff to Rs25.30 per unit. This decision follows a controversial incremental support package originally introduced in December 2025. The move aims to address ongoing industrial sector concerns while navigating significant internal disagreements regarding the actual cost of power supply. ## Internal Regulatory Deadlock The decision reached a 2-2 stalemate among board members, forcing Chairman Waseem Mukhtar to utilize his special casting vote. Dissenting members argued that the new rate lacks evidence-based support. They highlighted that institutional calculations suggest a marginal cost of Rs31.83 per unit, significantly higher than the newly approved tariff figure. ## Consumer Financial Impact Beyond the industrial tariff hike, all electricity consumers will face an additional charge of Rs2.37 per unit in their November bills. This adjustment is designed to recover Rs25 billion under the fuel cost adjustment mechanism. These costs apply to customers served by K-Electric and various other regional power distribution companies nationwide. ## Ministry Performance Failures All four regulatory members unanimously criticized the Power Division for failing to meet legal obligations. The ministry was required to submit revised calculations six months ago but missed multiple deadlines. This lack of inter-agency coordination has created an unprecedented deadlock, complicating the regulator's ability to maintain a cost-reflective pricing structure for electricity. ## Disputed Cost Calculations Dissenting members Amina Ahmed and Maqsood Anwar characterized the Rs25.30 rate as a random number. They argued that the package should be suspended until authentic data becomes available. The current misalignment forces non-industrial consumers to subsidize the system through quarterly adjustments, as incremental units are excluded from standard tariff calculations. ## Legal and Operational Threats Nepra has issued a stern warning to the Power Division and its subordinate entities regarding future compliance. Failure to provide required information within the newly stipulated timelines will trigger formal legal proceedings. The regulator explicitly stated that continued non-compliance could lead to the complete termination of the industrial support package program. ## Chairman's Strategic Rationale Chairman Waseem Mukhtar acknowledged the validity of the dissenting members' concerns but opted against immediate suspension. He stated that the Ministry of Energy deserves one final opportunity to provide the requested data. By casting the deciding vote, he prioritized maintaining the current package structure over an immediate, potentially disruptive policy termination. ## Broader Economic Implications This decision reflects the ongoing struggle to balance industrial incentives with fiscal sustainability in the energy sector. The reliance on fuel cost adjustments to cover revenue shortfalls places an immediate burden on the general public. Future stability depends on the ministry's ability to provide transparent, validated cost data to the regulator. ## Sources covering this story - https://www.dawn.com/news/2042708/nepra-raises-industrial-tariff-to-rs2530-per-unit-despite-dissent — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._