K-Electric to recover Rs3 per unit subsidy availed by consumers

KARACHI (HRNW) Following the approval by the National Electric Power Regulatory Authority (NEPRA), K-Electric has decided to recover Rs3 per unit subsidy, previously extended to industrial consumers.

The federal government gave a subsidy of Rs3 per unit to industrial consumers in Karachi from July to December 2019 under the industrial relief package for peak hours and off-peak hours.

In January 2022, the then government slashed the subsidy, but the decision was challenged in the Supreme Court by the industrialists.

However, the apex court dismissed their complaints and stated that the government has the prerogative to withdraw subsidies. This allows K-Electric to recover the Rs3/unit subsidy availed by industrial consumers from July to December 2019.

Today, NEPRA issued a revised decision regarding recovery from industrial consumers of Karachi. Following the decision, the K-Electric decided to Rs3 per unit subsidy, previously extended to industrial consumers, within two months.

The regulatory authority also forwarded the revised decision to the federal government for issuance of a notification in this regard.

NEPRA, in its judgement, said tariff adjustment should be done for industrial consumers of Karachi within 2 months after notification.