Electricity consumers in Pakistan may need to prepare for another increase in their October 2026 electricity bills as regulators consider a new fuel charges adjustment linked to power generation costs recorded in August.
The Central Power Purchasing Agency-Guarantee, or CPPA-G, has sought an additional fuel charges adjustment of around Rs1.73 per unit for August 2026. The National Electric Power Regulatory Authority, or NEPRA, held a hearing on the request on September 29 but had not issued its final determination as of September 30.
Therefore, consumers should not treat the Rs1.73 increase as a final notified charge yet.
However, if NEPRA approves the requested adjustment at or close to the proposed level, many electricity consumers could see the additional amount reflected in their October bills.
This comes at a time when consumers are already paying another tariff adjustment of around Rs0.5194 per unit under the quarterly tariff adjustment for the second quarter of 2026.
NEPRA approved that quarterly adjustment for recovery during September, October and November 2026.
Why could electricity bills increase in October 2026?
Pakistan adjusts electricity prices through several mechanisms.
One of them is the monthly Fuel Charges Adjustment, commonly called FCA.
The fuel adjustment reflects differences between the fuel cost already built into electricity tariffs and the actual cost of producing electricity during a particular month.
If actual fuel costs rise above the reference level, consumers can face a positive FCA. If actual costs fall, consumers can sometimes receive relief through a negative adjustment.
For August 2026, CPPA-G asked NEPRA to allow an increase of approximately Rs1.73 per unit.
According to data presented during the regulatory process, distribution companies received about 14.464 billion units of electricity during August at an average cost of approximately Rs8.82 per unit.
Officials linked the higher fuel cost mainly to expensive imported fuels and lower-than-expected generation from cheaper sources.
CPPA officials told the NEPRA hearing that expensive RLNG and imported coal, along with lower availability of hydropower and nuclear generation, contributed to the additional cost.
Power generated from some thermal sources remained particularly expensive.
According to figures reported from the proceedings, electricity produced using high-speed diesel cost around Rs54 per unit.
Furnace oil-based electricity cost about Rs45.25 per unit, while RLNG-based generation cost approximately Rs45.93 per unit.
These costs are significantly higher than electricity generated through many domestic or renewable sources.
How much extra could you pay?
If NEPRA approves the full proposed Rs1.73 per unit FCA, the direct additional fuel charge can be estimated by multiplying your relevant electricity consumption by Rs1.73.
For example, a consumer with 100 units could face approximately Rs173 in additional FCA.
A household with 200 units could face around Rs346, while 300 units could mean around Rs519.
At 500 units, the proposed FCA alone could add approximately Rs865.
A 700-unit consumer could see around Rs1,211 in additional fuel charges, while 1,000 units could translate into approximately Rs1,730.
These figures only show the mathematical impact of the proposed Rs1.73 fuel adjustment.
They do not represent the complete electricity bill.
Your final bill can also contain the basic tariff, fixed charges, quarterly adjustments, taxes and other applicable components.
October electricity bill estimate
Consumers should also remember the already approved quarterly adjustment of approximately Rs0.5194 per unit.
If both the proposed Rs1.73 FCA and Rs0.5194 quarterly adjustment apply to a consumer category, the combined adjustment would mathematically equal around Rs2.2494 per unit.
The following examples show the possible impact before taxes and other billing charges:
| Units | Proposed Rs1.73 FCA | Rs0.5194 Quarterly Adjustment | Possible Combined Addition |
|---|---|---|---|
| 100 units | Rs173 | Rs51.94 | Rs224.94 |
| 200 units | Rs346 | Rs103.88 | Rs449.88 |
| 300 units | Rs519 | Rs155.82 | Rs674.82 |
| 400 units | Rs692 | Rs207.76 | Rs899.76 |
| 500 units | Rs865 | Rs259.70 | Rs1,124.70 |
| 700 units | Rs1,211 | Rs363.58 | Rs1,574.58 |
| 1,000 units | Rs1,730 | Rs519.40 | Rs2,249.40 |
These are simplified estimates rather than final bill calculations.
Actual charges can vary because different consumer categories may receive exemptions or face different billing treatment. Taxes and other charges may also change the final payable amount.
Consumers should therefore check the exact FCA and quarterly adjustment lines on their electricity bills.
Is the Rs1.73 increase confirmed?
Not yet.
This is one of the most important points for consumers.
CPPA-G requested the Rs1.73 per unit adjustment, and NEPRA completed its public hearing on September 29.
However, the regulator reserved its decision and said it would review the submitted calculations and financial data before issuing its detailed determination.
That means the final adjustment could remain at Rs1.73, fall below that amount or change after NEPRA’s review.
Consumers should therefore wait for NEPRA’s formal determination before treating any particular amount as final.
NEPRA’s official website currently lists the August 2026 FCA hearing among its September regulatory proceedings.
How big is the total burden?
Reports published after the hearing gave different estimates for the overall financial impact.
Dawn reported that the additional fuel cost could place a burden of around Rs25 billion on electricity consumers if approved.
Business Recorder reported a higher estimate of approximately Rs29.5 billion in connection with the August FCA proceedings.
Because the regulator has not yet issued its final determination, consumers should treat these figures as estimates rather than the final recoverable amount.
The exact financial impact should become clearer once NEPRA publishes its decision.
Why was August electricity more expensive?
The electricity generation mix plays a major role in Pakistan’s monthly fuel adjustment.
When the country receives more electricity from hydropower, nuclear energy and other relatively cheaper sources, average fuel costs can fall.
However, when generation shifts toward imported coal, RLNG, furnace oil or diesel, the cost can rise significantly.
Officials at the September hearing said lower availability of cheap hydropower and nuclear power contributed to the August increase.
At the same time, expensive imported fuels pushed average costs upward.
The Power Division also told the hearing that additional fuel costs could have been even higher without an average of around one and a half hours of daily load management during August.
This illustrates a difficult challenge for the power sector.
Consumers want uninterrupted electricity, but generating additional electricity from expensive fuels can increase monthly costs.
Consumers were already charged an FCA in September
The proposed October impact follows another fuel adjustment that consumers faced in September.
NEPRA previously approved an FCA of around Rs2.06 per unit for electricity consumed during July 2026.
That amount was reflected in September bills for applicable consumers.
Consumers were also paying the Rs0.5194 quarterly tariff adjustment.
Therefore, electricity bills can change from month to month even when household consumption remains relatively stable.
A household may use almost the same number of units in two consecutive periods but still receive different bills because FCA, quarterly adjustments, taxes or tariff rates change.
What is the quarterly tariff adjustment?
The quarterly tariff adjustment is different from the monthly fuel charges adjustment.
The FCA mainly reflects changes in fuel and generation costs for a particular month.
Quarterly adjustments can account for other power-sector costs that change over a three-month period.
NEPRA approved an additional quarterly charge of approximately Rs0.5194 per unit for the second quarter of 2026.
The charge is being recovered during September, October and November 2026.
Therefore, even if the monthly FCA changes, this quarterly component can continue appearing during the approved recovery period.
Will every consumer pay exactly the same adjustment?
Not necessarily.
NEPRA decisions can contain exemptions for specific consumer categories.
Previous FCA determinations have excluded categories such as lifeline consumers, electric vehicle charging stations or certain prepaid consumers, depending on the particular decision and applicable policy.
For this reason, consumers should not assume that every household will automatically pay the same amount.
The final August 2026 FCA decision will determine the applicable categories and any exemptions.
Feature Pakistan will update the figures once NEPRA publishes the final determination.
How can you check the fuel adjustment on your bill?
When you receive your electricity bill, look for a section referring to Fuel Price Adjustment, Fuel Charges Adjustment or FCA.
The bill may separately show quarterly tariff adjustments and other government charges.
You should also compare your billed units with previous months.
If your total bill rises significantly despite similar electricity consumption, check whether an FCA or quarterly adjustment has contributed to the increase.
Consumers should use their electricity distribution company’s official bill portal when checking duplicate bills or billing details.
Customers in different areas receive electricity through companies such as FESCO, LESCO, IESCO, GEPCO, MEPCO, PESCO and other distribution companies.
NEPRA also publishes tariff and FCA decisions for distribution companies on its official website. For example, the regulator’s FESCO tariff page lists its September 2026 decisions and fuel adjustment records.
What Faisalabad electricity consumers should know
Consumers in Faisalabad and surrounding areas receive electricity through Faisalabad Electric Supply Company, or FESCO.
The same national regulatory process for monthly FCA applies to ex-WAPDA distribution companies such as FESCO.
Therefore, Faisalabad consumers should watch the final NEPRA decision before calculating the exact impact on their October bills.
The official NEPRA FESCO page already lists the regulator’s July FCA decision and quarterly tariff adjustment decisions issued in September.
If the August FCA receives final approval, the relevant notification or determination should provide the exact rate, billing month and applicable categories.
Can consumers reduce the impact?
Consumers cannot directly control fuel adjustments because these charges depend on nationwide electricity generation costs.
However, households can reduce their total exposure by lowering unnecessary electricity consumption.
Air conditioners, electric water heaters, irons, motors and older refrigerators can consume significant amounts of electricity.
Using energy-efficient appliances and avoiding unnecessary use during high-consumption periods can reduce total units.
A lower number of units also means that any per-unit adjustment has a smaller rupee impact.
For example, a Rs1.73 adjustment costs Rs346 on 200 units but Rs865 on 500 units.
Therefore, reducing electricity consumption remains useful even when tariff adjustments are outside the consumer’s control.
What should consumers expect in October 2026?
October electricity bills could remain under pressure.
Consumers are already facing the approved quarterly adjustment, while NEPRA is considering another positive FCA for August.
If the regulator approves the requested Rs1.73 per unit without a major reduction, applicable consumers could see another noticeable increase.
However, the precise effect will depend on consumption, consumer category, exemptions, taxes and NEPRA’s final determination.
The most important point is that the Rs1.73 per unit August FCA remains proposed as of September 30, 2026.
Consumers should not confuse a CPPA-G request with a final tariff notification.
Once NEPRA issues its decision, electricity users will be able to calculate the impact more accurately.
For now, households can use the estimated figures above to understand the possible increase and plan their October budgets accordingly.
Frequently Asked Questions
Will electricity prices increase in October 2026?
Consumers are already paying an approved quarterly adjustment of around Rs0.5194 per unit. In addition, NEPRA is considering a proposed Rs1.73 per unit August FCA that could affect October bills if approved.
Is the Rs1.73 electricity increase final?
No. As of September 30, NEPRA had concluded the hearing but had not issued its final determination.
How much extra could 300 units cost?
The proposed Rs1.73 FCA alone equals approximately Rs519 for 300 units. If the Rs0.5194 quarterly adjustment also applies, the simplified combined impact would be about Rs674.82 before taxes and other charges.
How much could 500 units add to the bill?
The proposed FCA would equal approximately Rs865 on 500 units. Adding the quarterly adjustment produces an estimated combined amount of around Rs1,124.70 before other charges.
Why is Pakistan charging a fuel adjustment?
Monthly FCA reflects differences between the reference fuel cost included in electricity tariffs and actual electricity generation costs.
Will FESCO consumers pay the new FCA?
FESCO is among the ex-WAPDA distribution companies covered by NEPRA’s FCA regulatory process. However, consumers should wait for the final August 2026 determination to confirm the exact rate and applicable categories.
When will the new electricity rate become final?
NEPRA will issue its detailed determination after reviewing the CPPA-G request and data presented during the hearing. As of September 30, that final decision had not yet appeared on NEPRA’s published decisions page.
