Prime Minister Shehbaz Sharif has introduced a three-month electricity relief package aimed at providing significant savings for consumers during the winter months.
On Friday, Shehbaz announced that the package will be available from December to February, designed to encourage electricity consumption during the traditionally low-demand winter period. He made the announcement during an event celebrating the birth anniversary of renowned poet Allama Iqbal.
Shehbaz detailed the package, explaining that domestic consumers will now benefit from a flat rate of Rs26.7 per unit on additional power usage. This rate, Shehbaz noted, could save consumers between Rs11.42 (30%) and Rs26 (50%) per unit, depending on their existing tariff slab. The savings extend to industrial and commercial users as well, with industries expected to see a discount ranging from Rs5.72 to Rs15.05 per unit, translating to 18-37% savings. For commercial users, the discount per unit will be from Rs13.46 to Rs22.71, offering potential savings of 34-47%.
Shehbaz emphasized that these new rates would be applicable only on additional units above 25% of the reference benchmark. The government will maintain regular rates on any incremental usage over this threshold. This approach is intended to optimize electricity usage during winter and stimulate economic activity by providing relief to domestic, commercial, and industrial sectors.
The Power Division confirmed Shehbaz’s announcement, explaining that this reduction applies across domestic, commercial, and industrial sectors to help manage seasonal electricity demand. According to the division’s statement, industries consuming electricity above their historical benchmarks will be eligible for discounts ranging from 18% to 37% on existing rates. Shehbaz highlighted the government’s focus on promoting industrial and commercial activity to fuel economic growth.
Shehbaz also emphasized that domestic households will benefit from the lower winter rates, making electricity more affordable for heating and other energy needs, thereby reducing reliance on gas. This initiative, he said, aligns with the government’s strategy to foster energy efficiency and affordability during colder months.
This relief package comes shortly after the National Electric Power Regulatory Authority (NEPRA) announced a reduction of Rs1.28 per unit in electricity charges due to adjustments in fuel prices for September. Shehbaz’s announcement follows NEPRA’s September decision to implement a Rs1.743 per unit increase for three months, from September to November, which aimed to generate Rs43.23 billion for ex-Wapda distribution companies.
