The Central Power Purchasing Agency (Guarantee) Limited (CPPA-G), the state-run entity that procures electricity from generation companies on behalf of distribution utilities, has sought an increase of approximately 38 percent in its agency fee for the 2026-27 fiscal year. In a petition submitted to the National Electric Power Regulatory Authority (NEPRA), the power sector regulator, the agency proposed raising its monthly rate from the existing Rs10.5248 per kilowatt (kW) to Rs14.47 per kW.
According to the regulatory petition, CPPA-G has projected a total net revenue requirement of Rs3.369 billion for the fiscal year. For FY 2025-26, NEPRA had approved a fee of Rs10.5248 per kW per month. If the regulator approves the revision in full, the additional financial impact on consumers will be between Re 0.02 and Re 0.03 per unit (kilowatt-hour), calculated at an average national Maximum Demand Indicator of 19,400 megawatts.
Breakdown of the revenue requirement
CPPA-G submitted an initial gross revenue requirement of Rs3.554 billion to manage its duties as a special purpose agent in the power market. The requested figure comprises general establishment expenses of Rs2.329 billion, administrative costs of Rs349 million, and office operations, maintenance, and support services totaling Rs237 million.
The agency has also budgeted Rs151 million for capital expenditures, Rs175 million to cover new recruitment costs, Rs245 million for corporate taxes, and Rs68 million in recoverable employee loan advances. After incorporating deductions—including Rs471 million in prior year adjustments, Rs550 million from other income, and Rs106 million in employee loan recoveries—CPPA-G fixed its net revenue requirement at Rs3.369 billion.
NEPRA scrutiny and upcoming hearing
NEPRA has admitted the petition and outlined key issues for formal examination. The authority will assess whether CPPA-G has valid legal and financial grounds to seek an exemption from filing a multi-year tariff petition in favor of a single-year tariff determination for the upcoming period.
The regulator will also evaluate whether the projected establishment budgets, operational expenses, hiring allocations, and capital outlays are economically justified. NEPRA has scheduled a public hearing on October 27, 2026, to solicit input from stakeholders before making its final determination on the proposed tariff.
Aasan alfaaz mein
Bijli ki khareedari sambhalnay walay sarkari idaray CPPA-G ne apni fee mein 38 feesad izafay ki darkhwast di hai. Agar regulator NEPRA ne yeh darkhwast manzoor ki, to sarfeen ke bijli bills mein 2 se 3 paise fi unit ka mamooli izafa hoga. Regulator is darkhwast aur idaray ke ikhrajat ka jaiza lenay ke liye 27 October 2026 ko awami samat karega.
