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Govt to end slab system punishing power consumers crossing 200-unit threshold

Dawn • • 1 min read

Govt to end slab system punishing power consumers crossing 200-unit threshold

Power Minister Awais Leghari told the Senate on Tuesday that the government plans to end the electricity billing rule that removes protected status when monthly use exceeds 200 units. The current arrangement gives eligible households using up to 200 units a subsidy of about Rs13 per unit, while crossing the limit can raise the charge to as much as Rs33 and block relief for six months.

The government is weighing a higher eligibility ceiling of 250 units or removing the six-month restriction, with a final plan expected in about one and a half months. Leghari said future assistance would focus on household income, rather than consumption alone, as solar-equipped households with higher overall use have also reduced their grid purchases to qualify. The government is providing a 65 per cent subsidy to protected consumers.

Leghari also told lawmakers circular debt was around Rs1.67 trillion and the government aimed to clear it within four years, alongside ending a Rs3.23-per-unit debt servicing surcharge. Separately, officials outlined a national AI programme and a $1bn investment target for Pakistan’s AI ecosystem by 2030.

At a glance

  • The government plans to replace the 200-unit electricity subsidy threshold.
  • Officials expect to finalise the revised relief plan in about one and a half months.
  • The government has set a four-year target to eliminate circular debt.

Originally reported by Dawn

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