ISLAMABAD: Power companies have asked to add Rs1.78 per unit as a fuel cost charge on March electricity bills. This comes after power demand rose by 12.1% in January compared to last year. The Central Power Purchasing Agency (CPPA) says the higher cost is due to increased fuel expenses, even though nearly 60% of power was from cheaper domestic sources. Electricity use in January was 8% higher than December 2025. If approved, this hike will add about Rs16 billion to consumer bills across the country, including ex-Wapda Discos and K-Electric. The National Electric Power Regulatory Authority (Nepra) will hold a public hearing on February 26 to review the fuel cost adjustment (FCA) request. According to CPPA, 8,762 gigawatt hours (GWh) of electricity were delivered to Discos in January. The reported average fuel cost was Rs12.18 per unit, above the pre-approved Rs10.395 per unit reference. This creates a need for an additional Rs1.78 per unit charge. Fuel use in January included Regasified Liquefied Natural Gas (RLNG) at 22%, nuclear power at 17.5%, imported coal at 17.28%, and local coal at 15.4%. Local gas made up 12%, while hydropower fell to 8% due to canal maintenance. Furnace oil returned to contribute 3% despite being phased out. Furnace oil was the costliest at Rs33.55 per unit, followed by RLNG at Rs20. Nuclear fuel cost Rs2.23 per unit. Renewable sources like wind, bagasse, and solar contributed 4.55%, with wind and solar offering zero fuel cost. Electricity imports from Iran were 0.38% at Rs22.06 per unit. Published in Dawn, February 19th, 2026.