Pakistan’s power generation increased 7 percent year over year to 15,122 GWh in July 2026, driven by higher output from hydel and coal based power plants, according to data compiled by Arif Habib Limited.
July generation was the second highest recorded for the month, with hydel, local coal and imported coal reaching their highest levels for any July, according to the data.
While local coal based generation increased 10 percent to 1,650 GWh, hydel generation rose 6 percent year over year to 6,019 GWh. Generation from imported coal jumped 90 percent to 2,169 GWh from 1,140 GWh a year earlier.
The increase in coal based generation was accompanied by a decline in generation from some other sources. While gas based generation declined 9 percent to 990 GWh, RLNG based generation fell 33 percent year over year to 1,629 GWh.
The share of hydel in total generation stood at 39.8 percent in July, followed by imported coal at 14.3 percent, nuclear at 10.1 percent and local coal at 10.9 percent. RLNG accounted for 10.8 percent of total generation during the month.
What happened
Despite the increase in power output, the average cost of generation rose 38 percent year over year to Rs. 10.75 per kWh in July from Rs. 7.78 per kWh a year earlier. While higher oil costs also went on to generation costs, the increase was driven by a higher reliance on relatively expensive RLNG and furnace oil generation.
The data showed that RLNG generation costs rose 115 percent year over year to Rs. While furnace oil based generation costs increased 61 percent to Rs, 47.38 per kWh. 50.08 per kWh. Imported coal generation cost Rs. 16.33 per kWh, up 13 percent from a year earlier.
Against the higher generation costs, distribution companies sought a positive Fuel Charges Adjustment of Rs. 2.52 per kWh for July 2026. According to Arif Habib Limited, the requested adjustment is the highest since June 2024, potentially increasing the cost burden for electricity consumers if approved by the regulator.
Stay Connected with ProPakistani
Get the latest business news, market insights, and economic updates wherever you prefer.
Related stories
Govt orders large dealers to limit holding sugar inventories to 15 days
Eshita Gain is a digital journalist at Mint, where she joined in May 2025.
India BusinessLiveStock market today: BSE Sensex jumps over 550 points, NSE Nifty…
GIFT Nifty signals positive opening as global cues improve.
Tempsens Instruments IPO opens for bidding
Meanwhile, the Economic Times daily newspaper is available online now.
With focus on luxury tea-inspired hospitality, Sri Lanka’s Dilmah group to launch…
With focus on luxury tea-inspired hospitality, Sri Lanka's Dilmah group to launch Thambapanni in India Updated - August 20, 2026 09: 59 am IST…