Federal govt reduces electricity tariff for industrial units

The federal government has announced a reduction of PKR 4.04 per unit in electricity rates for industrial consumers, issuing an official notification to implement the change.

According to the Ministry of Energy, the reduction will take effect from 1 February 2026.

The move effectively removes a PKR 10.1 billion cross-subsidy burden previously borne by industrial units.

Following the revision, the basic tariff for industrial consumers has been lowered from PKR 33.58 to PKR 29.54 per unit, equivalent to 11.5 cents per unit.

The notification comes after the Power Division filed a request with NEPRA addressing industry concerns.

NEPRA concluded hearings on 11 February and forwarded its decision to the government, which has now been implemented.

Nepra introduced the prosumers regulations in February, attracting widespread condemnation from prosumers and political parties for disregarding government contracts.

Reacting to the backlash, PM Shehbaz Sharif sought a review of Nepra’s revised rules for rooftop solar users and directed the Power Division to file a reconsideration request to restore all contractual obligations to existing prosumers who had invested in response to government policies.