The National Electric Power Regulatory Authority (Nepra) is set to hold a public hearing on June 13, 2025, to review interim tariff proposals submitted by eight major power distribution companies (Discos). These companies are collectively seeking Rs 455.6 billion in revenue for the fiscal year 2025-26 under the Multi-Year Tariff (MYT) framework. The hearing will provide a platform for stakeholders to express their views on how these tariffs might affect electricity prices and consumers.
The eight Discos involved are GEPCO, QESCO, MEPCO, SEPCO, HESCO, PESCO, TESCO, and HAZECO. They have filed tariff petitions covering a five-year period from FY 2025-26 to FY 2029-30, requesting funds to cover operational costs, maintenance, depreciation, and other expenses. For the upcoming year, GEPCO seeks Rs 67.8 billion, MEPCO Rs 139.1 billion, and QESCO Rs 50.1 billion, reflecting the scale of their service areas and customer bases.
GEPCO’s revenue request includes Rs 16.6 billion for employee salaries and allowances, Rs 13.8 billion for post-retirement benefits, and Rs 4.9 billion for other expenses. Its total operational and maintenance (O&M) costs are estimated at Rs 43.4 billion, along with additional costs for depreciation and prior year adjustments (PYA). Similarly, MEPCO has projected Rs 79.6 billion in O&M costs, with large shares allocated for salaries (Rs 22.3 billion) and post-retirement benefits (Rs 29.4 billion).
QESCO’s proposal totals Rs 50.1 billion, including Rs 9.9 billion for pay and allowances, Rs 17.1 billion for O&M expenses, and Rs 16.3 billion claimed as prior year adjustments. Other Discos such as SEPCO, PESCO, HESCO, TESCO, and HAZECO have also detailed their cost structures, which mainly consist of O&M expenses and supply margin allocations needed to maintain electricity distribution and supply.
This review is critical as it impacts electricity tariffs for millions of consumers across Pakistan. The public hearing will ensure transparency and allow input from consumers, regulators, and industry experts before final decisions on tariff adjustments are made.