Electricity consumers in the country could be burdened with an additional cost of Rs3.53 per unit in their bills from the next month.
The Central Purchasing Power Authority will conduct a hearing on Wednesday to finalise the change in the cost of electricity based on rising costs for generation companies.
If the CPPA agrees to raise the price of electricity, consumers would have to bear an additional burden of Rs40 billion.
The price hike includes Rs0.36 in fuel cost adjustment charges and Rs3.16 in terms of arrears.
The outstanding dues for fuel price alone amount to Rs28 billion.
Consumers are already grappling with record-high electricity bills in the country. The matter even led to protests across the country in August due to unusually high bills.
The government had responded by beginning a crackdown on electricity theft in the country.
