ISLAMABAD – In a move aimed at providing relief to electricity consumers, the federal government has proposed a Rs1.15 per unit reduction in power rates starting from July 1. The proposal, submitted to the National Electric Power Regulatory Authority (Nepra), excludes the lowest ‘lifeline’ users who consume up to 50 units per month.
Nepra has scheduled a public hearing on July 1 to review the proposal before final approval. If accepted, the cut will apply to residential, commercial, industrial, agricultural, and bulk users, with reductions ranging from 3% to 10% based on usage categories.
According to the Power Division, lifeline consumers will continue paying Rs3.95 per unit for up to 50 units, and Rs7.74 for 51 to 100 units. Protected consumers using up to 100 units will see a decrease from Rs11.69 to Rs10.54 per unit, while those using 101 to 200 units will pay Rs13.01 instead of Rs14.16.
For non-protected users consuming over 200 units, the rate for the first 100 units will drop from Rs23.59 to Rs23.44 per unit. The average national tariff is expected to come down from Rs32.75 to Rs31.60 per unit, helping ease electricity bills for most consumers.
This proposed adjustment reflects Nepra’s revised tariff decisions, power purchase costs, and reduced subsidies under Pakistan’s agreement with the International Monetary Fund (IMF). The federal budget for FY2025-26 includes a 12.9% reduction in subsidies, cutting support across various categories and regions.
Despite major cuts in subsidies for Balochistan tubewells, K-Electric, FATA, and Azad Jammu and Kashmir, the government has committed to maintaining a uniform tariff policy for both K-Electric and Discos. The Power Division stated this plan aligns with the National Electricity Policy 2021 and ensures financial sustainability in the energy sector.