KARACHI: K-Electric Limited (PSX: KEL) has secured interim relief from the Sindh High Court in its ongoing legal battle against the National Electric Power Regulatory Authority (NEPRA), according to a material disclosure filed with the Pakistan Stock Exchange on Tuesday.
The disclosure states that the High Court, in an order dated November 4, 2025, has directed that “no coercive action shall be taken against the petitioner” in terms of NEPRA’s decision from October 20, 2025. This interim order will remain in effect until the next date of hearing.
KE’s legal counsel argued that if the tariff were implemented, it would result in severe financial losses for the company and potentially force it to suspend operations for an extended period. They further raised concerns over the lack of notice from NEPRA regarding the suo motu action, and the absence of a functioning NEPRA Appellate Tribunal to address the issue.
This development is the latest in a series of legal maneuvers by the power utility. The company had initially challenged NEPRA’s October 20 decision by filing an appeal before the NEPRA Appellate Tribunal. However, citing that the tribunal is currently non-functional, K-Electric subsequently filed four separate Constitutional Petitions (D-5384 to D-5387 of 2025) before the Sindh High Court to seek judicial intervention.
The interim stay provides K-Electric with a crucial temporary shield from potential enforcement actions by the regulator while the substantive legal challenge is pending. The specific details of NEPRA’s contested decision were not disclosed in the filing, but such disputes typically involve determinations on consumer tariffs, quarterly adjustments, or other regulatory matters that directly impact the company’s revenue.
The outcome of this legal proceeding is being closely watched by investors, as it has significant implications for K-Electric’s financial standing and its ability to recover costs from consumers. The company’s stock is likely to see heightened activity as the market digests this development.
However, a series of review applications, filed by external parties, led NEPRA to take suo motu notice of its earlier judgment and revise the tariff to Rs 32 per unit.
The SHC issued a stay order, acknowledging the validity of KE’s concerns and scheduling a hearing for November 19, 2025, with notices to be issued to all relevant parties, including the Additional Attorney General. The court’s order prevents any coercive actions against KE until the next hearing.
