The Sindh High Court has granted K-Electric interim relief by suspending contested tariff orders and notifications. The decision follows the utility’s challenge to NEPRA Appellate Tribunal judgments dismissing its tariff appeals.
K-Electric disclosed the development to the Pakistan Stock Exchange on Thursday, October 8. It said the court issued ad-interim orders a day earlier.
The dispute concerns the company’s Multi-Year Tariff (MYT) for fiscal years 2024 to 2030. The suspension provides temporary relief while the court considers the challenge. It does not settle the underlying tariff dispute.
Court suspends challenged decisions
“In continuation of the disclosure made by K-Electric Limited (KEL) on 24th September 2026, it is further informed that the company, while exercising its legal right, challenged judgments passed by NEPRA Appellate Tribunal all dated 23rd September 2026 in respect of the company’s tariff appeals, along with NEPRA’s review determinations all dated 20th October 2025 and subsequent notifications issued by NEPRA dated 23rd September 2026 and Ministry of Energy (Power Division) dated 27th September 2026, before the Honorable High Court of Sindh at Karachi (SHC).
“In this respect, on 7th October 2026, the SHC has been pleased to pass ad-interim orders to the effect that the impugned notifications and orders are suspended,” read the notice.
Following this in a separate statement, KE said the court issued notices to respondents and fixed the matter for hearing. According to the company, the court observed that the points it raised merited consideration.
KE questions scope of tariff review
KE’s argument centres on the distinction between reviewing an existing tariff and determining it afresh. The company acknowledges NEPRA’s review authority but maintains that this power cannot extend to a fresh tariff determination.
It says the review decisions substantially damaged its seven-year tariff framework and made it financially unsustainable. That assessment represents the company’s position in the dispute.
The tribunal dismissed KE’s appeals on September 23. At the time, the utility said it had learned of the dismissal through a verbal order.
It was still awaiting the written judgment when it announced plans to examine available legal remedies. The latest High Court challenge follows that earlier disclosure.
Dispute follows Rs7.60 tariff reduction
NEPRA originally determined KE’s average base tariff at Rs39.97 per unit, according to Dawn’s September 24 reporting. Its October 2025 review reduced that figure by Rs7.60, or about 19 percent, to Rs32.37.
Review petitioners included the Power Division, Jamaat-i-Islami, Karachi industrialists and KE itself, although they raised different objections.
The dispute also affects government subsidy calculations. However, the utility’s determined tariff is distinct from the uniform tariff applied to consumers.
Dawn reported that NEPRA’s September notifications retained the federal government’s uniform consumer tariff policy. The interim suspension therefore should not be read as an announcement of an immediate change in household electricity bills.
