What is FPA in HESCO Bill 2025?
FPA (Fuel Price Adjustment) is an additional charge applied to your HESCO electricity bill to account for fluctuations in fuel prices. Since electricity generation in Pakistan relies on various fuels (such as natural gas, oil, and coal), any increase or decrease in fuel costs directly affects the price of electricity. The FPA ensures that the costs of generating electricity are passed on to consumers.
In 2025, the FPA is calculated monthly and is added to your HESCO bill based on the difference between the actual cost of fuel and the expected cost. If fuel prices have increased, your bill will reflect a higher FPA surcharge, and if fuel prices drop, the FPA could decrease.
This charge is reviewed and adjusted by NEPRA (National Electric Power Regulatory Authority) to ensure that consumers are only paying for the actual costs of electricity generation.
HESCO (Hyderabad Electric Supply Company) is a key provider of electricity to its customers. If you’re a HESCO customer, you may have seen the term “FPA” on your electricity bill.
In this article, we’ll explain how FPA (Fuel Price Adjustment) is calculated and its impact on your total HESCO bill. This guide will help you understand the significance of FPA in your monthly billing statement.
What Does FPA Stand For in Your HESCO Bill?
In HESCO (Hyderabad Electric Supply Company) electricity bills, FPA stands for Fuel Price Adjustment. This additional charge is applied to your monthly bill to account for fluctuations in the cost of fuel used to generate electricity.
The primary goal of the FPA is to protect consumers from sudden spikes in electricity prices caused by changes in fuel costs.
How is FPA Calculated in HESCO Bills?
The calculation of FPA involves several steps, with the Fuel Information Price List (FIPL) published by the National Transmission and Dispatch Company (NTDC) serving as the reference for fuel price adjustments. This list includes fuel prices for various power generation plants, including LDO, HSD, and Furnace Oil.
To calculate FPA, the fuel charges from all power generation plants are combined, and a weighted average price per unit of fuel consumed is determined. The Elementary Fuel Charges (EFC) per unit also factor in other operational costs.
Once these costs are calculated, the FPA surcharge is added to your bill. This charge appears separately on your HESCO bill, alongside other costs such as energy charges, monthly minimum charges, and adjusted energy surcharges.
Factors Affecting FPA in HESCO Bills
Several factors influence how the FPA is calculated and why it fluctuates each month:
- Fuel Prices: The cost of natural gas, oil, and coal directly affects the FPA. As these fuel prices rise or fall, the FPA charge on your bill may also increase or decrease.
- Dollar Rate: Since Pakistan imports many of its fuels, fluctuations in the dollar exchange rate can significantly affect fuel costs and, consequently, the FPA.
- Economic Conditions: The country’s economic stability can impact fuel prices, especially if fuel imports are affected. These changes can then affect the FPA charges on your bill.
How to Calculate FPA in Your HESCO Bill
To calculate the Fuel Price Adjustment (FPA), refer to the latest FPA rate listed on your bill. These rates change monthly.
Here’s how to calculate it:
- Locate the FPA rate on your bill for the current month.
- Multiply the FPA rate by your total electricity consumption during the billing period.
For example, if your FPA rate is PKR 2.50/unit and you consumed 300 units, the FPA surcharge would be PKR 750 (2.50 x 300).
Since the FPA rate can change from month to month, be sure to carefully review your HESCO bill for any adjustments.