The National Electric Power Regulatory Authority (Nepra) has revised the national average electricity tariff downward by Rs0.62 per kWh for Calendar Year 2026, setting it at Rs33.38 per kWh, compared to the previously approved Rs34.00 per kWh for FY2025-26.

According to officials, the adjustment is linked to a revised government approach to rebasing consumer-end tariffs for distribution companies based on the calendar year rather than fiscal year. The shift is intended to align rebasing with winter months, when lower electricity consumption results in smaller bills, reducing the likelihood of consumer backlash over tariff adjustments.

Nepra determines consumer-end tariffs separately for each ex-Wapda distribution company (XWDISCO) due to varying revenue requirements, system losses and operational cost structures. Multiple DISCOs—including GEPCO, QESCO, MEPCO, SEPCO, HESCO, PESCO, TESCO and HAZECO—submitted multi-year tariff (MYT) petitions covering FY2025-26 through FY2029-30, which have now been adjudicated by the regulator.

Acting on policy guidelines issued by the Ministry of Energy (Power Division) and subsequent Federal Cabinet approval for annual rebasing effective January 1, Nepra has restructured consumer-end tariffs for the period January to December 2026.

The revised tariffs, finalized on January 7, 2026, have been forwarded to the Federal Government for the submission of a uniform tariff application, which will determine the final billing rates for end consumers.

For CY2026, the projected total revenue requirement for XWDISCOs stands at Rs3,379 billion, comprising Rs2,923 billion in Power Purchase Price and Rs456.15 billion for distribution margins and prior-year adjustments, against projected sales of 101,234 GWh.

Separately, Nepra has also approved a negative fuel cost adjustment of Paisa 93.62 per kWh for November 2025, applicable to consumers of both DISCOs and K-Electric, which will be reflected in upcoming billing cycles.