NEPRA grants 20-year power licence for DHA City Karachi

By Usama Haider

ISLAMABAD, July 29, 2026—The National Electric Power Regulatory Authority (NEPRA) has granted a 20-year electricity distribution license to DHA Energy Supply Company, allowing it to supply power exclusively within DHA City Karachi.

The license will take effect on October 1, 2026, and remain valid until September 30, 2046, marking another step toward bringing new operators into Pakistan’s electricity distribution sector.

Summary

• NEPRA has granted DHA Energy Supply Company a 20-year distribution license.

• The company can supply electricity only within DHA City Karachi.

• The license will remain effective from October 2026 until September 2046.

DHA Energy Supply Company gets an exclusive license.

The license was formally awarded during a ceremony at NEPRA headquarters in Islamabad.

Under the approval, DHA Energy Supply Company will be responsible for electricity distribution within the defined boundaries of DHA City Karachi.

The company has been authorized to operate only within the project and cannot extend its distribution operations beyond the approved service area under the license.

NEPRA said the company must apply only those electricity tariffs, use-of-system charges, and connection fees that it requires. The company must apply only the electricity tariffs, use-of-system charges, and connection fees that the regulator approves periodically. The company must apply only the electricity tariffs, use-of-system charges, and connection fees that the regulator approves from time to time.

The company will also be responsible for maintaining electricity supply within its authorized territory in accordance with the license conditions.

DHA City Karachi is the sole area covered by the license. DHA City Karachi only.

DHA City Karachi, a residential project The Defense Housing Authority (DHA) is developing DHA City Karachi, a residential project that spans approximately 22,000 acres in Gadap Town. The project, developed by the Defense Housing Authority (DHA), covers approximately 22,000 acres in Gadap Town.

The development is located around 56 kilometers from Karachi, according to the information provided with the license announcement.

The new distribution arrangement is limited specifically to DHA City Karachi, meaning the license does not give the company authority to supply electricity across the wider Karachi market.

A new license could increase power-sector competition.

The development is being viewed as part of a broader move toward introducing greater competition and modernizing electricity distribution services in Pakistan.

Energy experts believe allowing additional companies to enter electricity distribution could encourage competition between service providers.

Greater competition could potentially improve service quality and power reliability for consumers, although the impact will depend on how effectively new distribution operators perform under NEPRA's regulatory framework.

The next key step will come when the license becomes operational on October 1, 2026, beginning the company's 20-year authorized distribution period.

Source: This article information is based on [Ary News].