K-Electric says the NEPRA Appellate Tribunal’s decision could have a substantial adverse impact on its Multi-Year Tariff for FY2024-FY2030.
KARACHI: K-Electric Limited (KE) has lost its appeals against regulatory decisions of the National Electric Power Regulatory Authority (NEPRA), with the power utility warning that the outcome could have a substantial adverse impact on its tariff framework for the FY2024-FY2030 control period.
The NEPRA Appellate Tribunal announced a verbal order dismissing K-Electric’s appeals on Wednesday. The written order has yet to be issued.
The appeals related to NEPRA decisions dated October 20, 2025, which concerned review petitions against earlier Multi-Year Tariff (MYT) determinations covering K-Electric’s generation, transmission, distribution and supply businesses. NEPRA subsequently notified those decisions through notifications issued on September 23, 2026.
K-Electric Awaits Detailed Tribunal Order
In a communication to the Pakistan Stock Exchange (PSX), K-Electric said it was awaiting receipt of the detailed order from the NEPRA Appellate Tribunal.
The company said the development would have a “substantial adverse impact” on its MYT for the control period covering FY2024 to FY2030 and described the outcome as financially unsustainable for the company.
K-Electric said it would review the tribunal’s detailed order once formally received before considering the legal remedies available to it.
The company had previously disclosed that the October 2025 regulatory decisions significantly altered aspects of its approved tariff framework. In its October 2025 filing, KE said NEPRA had reduced the average tariff from Rs39.97 per unit to Rs32.37 per unit.
NEPRA Tariff Decision
The tribunal’s latest decision leaves the revised average base tariff at Rs32.37 per unit, according to reports on the ruling. The revised rate represents a reduction from the Rs39.97 per unit tariff approved by NEPRA in May 2025.
The revised tariff framework covers key components of K-Electric’s power business, including power purchase, transmission and distribution costs.
NEPRA’s September 23 notifications formally communicated its October 20, 2025 decisions relating to K-Electric’s generation, transmission, distribution and supply tariff matters.
KE Considers Further Legal Remedies
K-Electric has maintained that the tribunal’s decision, in its present form, would place significant financial pressure on the company.
The utility said it would wait for the written order before determining its next legal course. The company has indicated that it may consider further legal remedies after reviewing the tribunal’s reasoning and the basis on which its appeals were dismissed.
The development is significant for K-Electric because the MYT provides the regulatory framework for its revenues, costs and investment planning over the multi-year control period.
For now, the company’s next steps will depend on the detailed written order from the NEPRA Appellate Tribunal and its assessment of the legal options available under the regulatory framework.