In a major upset, the National Electric Power Regulatory Authority (NEPRA) gave its approval for a hike in electricity tariff for Karachi by Rs5.27 per unit.
According to the details, the K-Electric sought an increase in power tariff by Rs5.31 as fuel adjustment charges for April, however, the power authority approved an Rs5.25 hike.
Important to note that residents of Karachi will already be paying an additional Rs7 per unit on basic tariff from July 2022. To clarify, earlier, the Economic Coordination Committee (ECC) approved an increase of Rs7.91 per unit in the electricity prices. The increase in electricity prices will supposedly recover an additional Rs891 billion from consumers.
The implementation of the Rs7.91 per unit increase will be done in three phases. The first phase of Rs3.50 per unit will take effect from July, the second, also of Rs3.50 per unit, from August, and the third of nearly Rs1 per unit from the following month, according to the decision.
As a result, citizens of Karachi will have to pay Rs24.82 per unit for electricity. Authorities from K-Electric had initially submitted a plea to NEPRA for the increase in price. They informed the regulator that global oil prices had jumped 22%, which was the reason for the high production cost.
Tough times for Karachi
Pakistan is already facing a tough economic situation, however, it seems that citizens of Karachi will be facing even tougher times owing to the massive price hike in electricity tariff.
Moreover, to add insult to injury, Karachiites have to endure the prolonged and extended duration of load-shedding up to over 12 hours in parts of the city that too in the sweltering weather.
First you impose load-shedding then you raise the electricity unit cost. @NEPRA5 @KElectricPk. How’s business and commerce expected to operate under such conditions? #امپورٹڈ_بجٹ_نامنظور #karachi #Loadshedding #PDMGovtFailed #pakistan https://t.co/OIPBRBIIy8
— Abdulrahman Rafiq (@arrafiq) June 24, 2022
The incessant load shedding has become an alarming situation as it negatively impacts the city’s economic activities. Earlier this week, the shopkeepers of Saddar Mobile Market in Karachi staged a protest demonstration against prolonged power cuts, which have disturbed their business. It may be noted that the Sindh government has also announced the closure of all markets including shopping malls by 9 pm across the province.