ISLAMABAD: After a period of relative stability, power companies have sought additional fuel cost charges of over Rs1.78 per unit from consumers across the country in March bills, as demand appeared to pick up and power generators returned to furnace oil.

The Central Power Purchasing Agency (CPPA) demanded a higher fuel cost on account of power consumed in January, even though almost 60 per cent of the power was generated from domestic, cheaper sources. Electricity consumption was reported to be around 12pc higher than the same month last year and 8pc higher than December 2025.

Once approved, the power companies would charge an additional amount of about Rs16bn to consumers of all the power companies, including ex-Wapda Distribution Companies (Discos) and K-Electric, in the billing month of March. The National Electric Power Regulatory Authority (Nepra) has called a public hearing on February 26 to examine the request for fuel cost adjustment (FCA).

The CPPA, which filed the petition for a higher FCA for January consumption, said the power consumption was around 12.1pc higher than the same month of the previous year and about 8pc higher than the previous month, December 2025. The power companies have claimed an average fuel cost of Rs12.18 per unit for January 2026, compared to Rs11.03 per unit of the same month of the previous year and almost Rs2.56 per unit higher than Rs9.62 per unit in December 2025.

CPPA demands higher fuel charges citing 12pc increase in demand

The CPPA reported that 8,762 billion units (gigawatt hours) of electricity were delivered to Discos in January.

The power companies have claimed that the average fuel cost amounted to Rs12.18 per unit in January, against a pre-approved reference fuel cost of Rs10.395 per unit. There is a need for an additional FCA of about Rs1.78 per unit.

The CPPA said about 9,140GWh of electricity was generated in January at an estimated fuel expenditure of Rs106.4bn (Rs11.64 per unit), of which 8,762GWh of energy was delivered to Discos for Rs106.7bn (Rs12.18 per unit), leading to a higher fuel cost over what was already charged to consumers in December bills. Regasified Liquefied Natural Gas (RLNG)- based power generation accounted for the largest share of the grid’s fuel, with almost 22pc.

This was followed by nuclear power with its 17.5pc share. Traditional hydropower generation dipped to just 8pc in the wake of the annual canal closure for maintenance. Third position was secured by imported coal, with a 17.28pc share, followed by local coal with a 15.4pc share.

The share of local gas-based generation stood at 12pc in January, up from 11pc in December. Furnace oil-based generation revived to 3pc, although the fuel has been officially phased out.

Furnace oil-based generation was the most expensive at Rs33.55 per unit, followed by Rs20 per unit from RLNG, Rs13.5 per unit from imported coal, Rs12.74 per unit from local gas, and Rs11.63 per unit from local coal. There was no power generation from high-speed diesel.

The nuclear fuel cost amounted to Rs2.23 per unit in January. The three renewable energy sources — wind, bagasse and solar — together contributed a 4.55pc share to the grid. Wind and solar have no fuel costs, while bagasse-based plants had a fuel cost of Rs10.39 per unit, with just 1.11pc contribution to the grid. Electricity imports from Iran accounted for 0.38pc of the total, with a fuel cost of Rs22.06 per unit.

Published in Dawn, February 19th, 2026

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KARACHI: Foreign direct investment (FDI) plunged year-on-year by 41 per cent in the first seven months of 2025-26.

Data issued by the State Bank on Wednesday showed that the confidence of foreign investors further declined compared to the previous year, as their investment during July-January FY26 fell to $981 million from $1.660 billion in the same period of the previous fiscal year.

Experts believe foreign investment will remain under pressure, as the regional situation is not conducive to foreign investors, and the country is also facing terrorism.

The government is struggling to attract foreign investors but failed to achieve any positive results. The State Bank data showed that the highest FDI inflows came from China at $495.5m; however, this was lower than last year’s $857m.

Other significant inflows were from Hong Kong ($188.4m), the UAE ($126m), and Switzerland ($124m).

The inflow of FDI improved in January, reaching $173.3m, but the largest inflow this month was from China, contributing $73m.

However, the largest outflow was to Norway, with disinvestment totalling $365m during the July-January period.

Published in Dawn, February 19th, 2026

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KARACHI: On the eve of Ramazan, the Pakistan Stock Exchange (PSX) on Wednesday snapped its four-session losing streak as bulls staged a spectacular recovery drive, as investors indulged in aggressive value­­-hunting, which toss­­ed the benchmark KSE-100 index near the 179,000-point level after a massive battering in the recent sessions.

Topline Securities Ltd said the index settled at 178,853.10 points, up 5,702.68 points or 3.29 per cent, reflecting a market recovery. Throughout the day, the index moved within a band, touching an intraday high of 178,974 points and a low of 174,328 points amid low trading volume. However, investors recovered Rs560 billion in a single session.

The current account posted a surplus of $121 million in January, compared with a deficit of $393 million in the same month last year. However, the balance of payments in 7MFY26 remained in deficit at $1.074 billion during July-January FY26 compared to a surplus of $564m a year earlier.

Meanwhile, the Large-Scale Manufacturing sector posted a year-on-year growth of 4.82pc in the first half of FY26. However, industrial production gro­w­th in December 2025 slo­wed to 0.44pc year-on-year.

Support from major heavyweights, United Bank Ltd, Habib Bank Ltd, Meezan Bank Ltd, National Bank of Pakistan, and MCB Bank, underpinned the market’s performance, jointly adding 2,699 points to the benchmark. In contrast, Pakistan Oilfield Ltd, Pioneer Cement, and Adamjee Insurance weighed on the index, collectively trimming 163 points.

Despite a massive rally, market participation weakened, with trading volume dipping 2.56pc to 697.6 million. However, the traded value rose 23.52pc to Rs49.9 billion. K-Electric continued to dominate the volume chart, with 116 million shares traded.

Ali Najib, Deputy Head of Trading at Arif Habib Ltd (AHL), PSX staged a strong rebound, marking a decisive recovery following the recent correction.

Broad-based buying was witnessed throughout the session as investors capitalised on attractive valuations, with value hunters actively accumulating fundamentally strong stocks at discounted levels.

On the corporate front, Habib Bank Ltd reported CY25 earnings per share of Rs48.48, reflecting a 14pc year-on-year increase, and announced a dividend of Rs20 per share, its highest-ever payout, exceeding market expectations. The earnings growth was primarily driven by higher net interest income and lower provisioning expenses.

Analysts expect the 180,000 level to have now emerged as the immediate resistance level.

Published in Dawn, February 19th, 2026

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