ISLAMABAD: Pakistan’s electricity generation in May 2025 increased by 1 percent year-on-year, reaching 12,755 GWh.
Despite the monthly gain, output remained below official reference levels.
Cumulative generation during 11MFY25 was recorded at 113,416 GWh, showing a slight 0.3 percent year-on-year decline.
Lower Tariffs Drive Modest Demand Uptick
Analysts from Arif Habib Limited attributed the slight growth in May to increased demand, likely due to reductions in electricity tariffs.
The average cost of power generation dropped by 11 percent year-on-year to Rs. 7.77 per kWh in May.
However, this cost was still slightly above the reference benchmark.
Generation from local coal increased by 3 percent to 1,413 GWh.
Gas-based generation fell sharply by 20 percent.
Wind and solar generation dropped by 3 percent and 7 percent respectively.
Nuclear output declined by 15 percent, and RLNG-based generation decreased by 21 percent.
Imported coal-based generation rose significantly, hitting 796 GWh—a 108 percent jump compared to May last year.
Annual Fuel Cost Sees Minor Improvement
During the 11-month period of FY25, the average fuel cost for electricity generation stood at Rs. 8.67 per kWh.
This marks a 1 percent decrease from the same period in FY24.
While fuel costs are trending downward, they remain a concern for long-term energy pricing stability.
The data highlights an evolving generation mix and the impact of cost efficiencies on national electricity supply.
