The cabinet approved the increase in power price a day after the National Electric Power Regulatory Authority (Nepra) announced Rs1.11 per unit increase to be collected during December bill payments.

Lifeline consumers will also remain unaffected by the increase.  The authority said during the period, the production cost of electricity was Rs3.95 per unit while the reference cost of electricity in September was Rs2.84 per unit. 

In its petition with Nepra, the Central Power Purchasing Agency (CPPA) proposed an increase of Rs1.3697 per unit in power tariff, under fuel price adjustment, for the month of September 2020 for ex-Wapda Discos. 

However, Nepra after hearing had reserved the judgment and after going through the data provided by CPPA it has allowed Rs1.1137 per unit increase in power price instead of the demanded Rs1.3697.