Complete Breakdown of GEPCO Bill Taxes & Surcharges (2026 Guide)
Ever wondered why your total electricity bill amount is significantly higher than your base unit cost? Here is a clear, line-by-line explanation of every tax, surcharge, and fee printed on GEPCO bills.
Understanding the Components of Your GEPCO Electricity Bill
When you check your GEPCO bill using our online bill lookup tool or test it in the GEPCO bill calculator, the final payable amount is divided into three distinct categories: Cost of Electricity, Government Surcharges, and Taxes & Duties.
1. Variable Electricity Charges (Base Tariff Cost)
This is the fundamental charge based on your total consumed units (kWh) during the billing cycle multiplied by your applicable NEPRA slab rate (e.g., Protected vs Unprotected slabs). You can check current slab rates in our GEPCO Tariff Rates Table 2026.
2. Fuel Price Adjustment (FPA)
FPA (Fuel Price Adjustment) is calculated by NEPRA on a monthly basis. Electricity in Pakistan is generated using imported coal, RLNG, furnace oil, gas, and hydel power. When international fuel prices fluctuate, NEPRA approves an FPA rate (e.g., Rs. 2.85 per unit) that is added or subtracted from your monthly bill two months after the generation cycle.
3. Financing Cost (FC) Surcharge
The FC Surcharge is a flat rate per unit (currently Rs. 3.23 per kWh for residential consumers) levied by the Federal Government of Pakistan. The collection from FC Surcharge is used to pay debt servicing costs for loans accumulated by Power Holding Limited (PHL) to manage the power sector circular debt.
4. Electricity Duty (ED)
Electricity Duty (ED) is a provincial tax levied by the Government of Punjab under the Electricity Act. It is calculated as 1.5% of the total variable energy charges on your bill.
5. PTV License Fee
A fixed fee of Rs. 35.00 per month is collected from all domestic residential consumers for Pakistan Television Corporation (PTV) state broadcasting services. Commercial connections are charged Rs. 60.00 per month.
6. General Sales Tax (GST 18%)
GST (General Sales Tax) is a federal tax levied at 18% on the cumulative sum of: (Base Energy Cost + FPA + Electricity Duty + FC Surcharge + PTV Fee).
7. Tariff Rationalization (TR) Surcharge
The TR Surcharge is designed to maintain a uniform electricity tariff structure across all distribution companies (DISCOs) in Pakistan (GEPCO, LESCO, FESCO, IESCO, MEPCO, PESCO, QESCO, K-Electric).
Summary Tax Calculation Example Table
| Charge Item | Rate / Calculation Formula | Est. Cost for 250 Units (PKR) |
|---|---|---|
| Base Energy Cost | Variable NEPRA Slabs (Unprotected) | Rs. 5,450.00 |
| FPA Adjustment | Rs. 2.85 / unit | Rs. 712.50 |
| FC Surcharge | Rs. 3.23 / unit | Rs. 807.50 |
| Electricity Duty (ED) | 1.5% of Base Energy Cost | Rs. 81.75 |
| PTV License Fee | Fixed Monthly Fee | Rs. 35.00 |
| Subtotal Before GST | Sum of Above Charges | Rs. 7,086.75 |
| GST (18%) | 18% x Subtotal | Rs. 1,275.61 |
| Total Payable Bill | Grand Total | Rs. 8,362.36 |