To eliminate complexities arising from charges, taxes, and duties imposed on consumers, cooperation has been sought from the Chief Ministers.
Federal Minister for Energy Awais Leghari stated they are considering removing non-electricity charges from consumers’ electricity bills. He also mentioned structural reforms, including a review of IPPs (Independent Power Producers) agreements.
In June, the commercial consumers’ rate was Rs. 71, which will now be Rs. 62.47 — a 12% reduction in tariff. Privatization of DISCOs (Distribution Companies) is underway. – Awais Leghari
Islamabad ( WEB NEWS )
The government has decided to abolish the “electricity duty” from power bills. Federal Minister for Energy Awais Leghari has written a letter to all Chief Ministers. In his letter, he requested cooperation to resolve the complications caused by various charges, taxes, and duties collected through electricity bills.
Awais Leghari stated that high electricity tariffs are a major challenge. The letter also mentioned that the federal government is reviewing agreements with IPPs as part of structural reforms.
He said they are considering eliminating non-electricity charges from electricity bills. The Power Division has decided to stop collecting electricity duty through bills starting July 2025.
The Federal Minister urged provincial governments to adopt alternative mechanisms for collecting provincial taxes and duties instead of using electricity bills.
Awais Leghari said this step would not only make electricity bills more transparent and easier to comprehend, but also ensure that consumers are only paying for electricity — not other unrelated charges.
He also requested all Chief Ministers to identify and implement alternative methods for revenue collection that will help make this initiative successful.
When will electricity prices decrease?
Federal Minister for Energy Awais Leghari revealed the timeline.
Speaking to Dunya News, Awais Leghari said that electricity bills for the month of May will reflect the reduced prices.
He added that the commercial tariff, which was Rs. 71 in June, will now be Rs. 62.47 — a 12% decrease.
Awais Leghari said that DISCOs are being privatized, and around 20 million consumers have seen a 48% to 56% decrease in electricity prices. This is a significant relief for the middle class.
He further mentioned that there are six different slabs for residential consumers, and they will share the exact changes in June’s electricity rates.
He said that following the Prime Minister’s announcement, new electricity rates will be shared on social and electronic media, and all related details will be posted on X (formerly Twitter).