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Nepra Flags Decline in Karachi’s Industrial Power Consumption, Urges Action
Nepra raises concerns over a 10% drop in Karachi’s industrial power use! Urges K-Electric & NTDC to enhance interconnections for cheaper electricity. Will this help businesses?
ND
by News Desk
2025-03-08
Nepra Flags Decline in Karachi’s Industrial Power Consumption, Urges Action

The National Electric Power Regulatory Authority (Nepra) has expressed serious concerns over a 10% decline in Karachi’s industrial electricity consumption, urging K-Electric (KE) and the National Transmission and Despatch Company (NTDC) to strengthen their interconnections to optimize cheaper electricity supply.

In a special note addressed to KE, NTDC, and the federal government, Sindh Member (Technical) Rafique Ahmed Shaikh highlighted a worrying drop in electricity sales. Overall KE’s power sales fell by 6.6% in December 2024, compared to the same period in 2023, while industrial sales plummeted by 9.7% from November 2024.

“This sharp decline in industrial demand requires immediate attention from stakeholders,” Mr. Shaikh stated, calling for swift action to resolve the issue.

High Cost of Electricity in Karachi

Despite NTDC’s surplus generation capacity and cheaper production cost (Rs9.60/kWh compared to KE’s Rs18.63/kWh), Karachi continues to struggle with high electricity prices. In December 2024, KE sourced 74% of its electricity from NTDC, yet it failed to fully utilize the available interconnection capacity.

With KE’s drawl capacity from NTDC limited to 1,600MW, the company only utilized 985MW (62%) in December, leading to inefficiencies and reliance on costly local power plants. Mr. Shaikh stressed that enhancing KE-NTDC interconnection and accelerating grid studies is crucial for stabilizing Karachi’s power supply.

Call for Infrastructure Upgrades

Nepra also emphasized the urgent need to complete K2 and K3 transmission lines, which will improve power transfer capacity between KE and NTDC, ensuring efficient energy distribution.

The key hurdles identified include:

✅ Limited transfer capacity between KE and NTDC
✅ Pending grid study under the Interconnection Agreement
✅ Delayed construction of K2 and K3 transmission lines

Nepra has urged all stakeholders to act immediately to prevent further inefficiencies and ensure the optimal use of energy resources in Karachi’s power sector.
Tagged:

NTDC

NEPRA

Kelectric

EnergyCrisis

KarachiPower

IndustrialGrowth
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