ISLAMABAD – A sigh of relief for inflation-hit power consumers as electricity tariff is likely to come down by Rs2 Per Unit in March 2025.
Ahead of spring, the federal government is preparing to pass on relief to the masses with more reduction in electricity tariffs. Power Distribution Companies (Discos) submitted petitions requesting a negative adjustment of around Rs 2 per unit for the second quarter of current fiscal year under the Quarterly Tariff Adjustment.
If approved by National Electric Power Regulatory Authority (Nepra), this adjustment could lower electricity prices for millions of consumers starting in March 2025. A public hearing regarding the petitions will be held on February 12, 2025 Wednesday.
The expected tariff cuts are due to fluctuations in exchange rates and drop in interest rates. Besides this adjustment, the incumbent government is expected to announce a further reduction of Rs7 per unit for the industrial sector, from April 2025 which would bring power tariff to around Rs10 per unit.
Sharif-led government officials highlighted that renegotiating power purchase agreements with Independent Power Producers (IPPs) will definitely yield annual savings of Rs137 billion amid a broader plan to cut energy costs by Rs1.14 trillion.
Federal Cabinet already approved new contracts aimed at achieving these savings, marking a significant step in reducing the financial burden on consumers and improving Pakistan’s energy sector.
