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Rs1.15 per unit cut likely in power tariff

MM News Staff by MM News Staff
June 30, 2025

The federal government has submitted an application to the National Electric Power Regulatory Authority (Nepra), seeking a reduction of Rs 1.15 per unit in electricity tariff for all consumers from July 1.

The reduction will be applicable to all consumers, except lifeline (lowest) domestic consumers.

Nepra has announced a public hearing on July 1 to complete the regulatory process before implementing the revised tariff.

The Power Division has opposed any change in the tariffs of the first two lifeline slabs of domestic consumers, as they are already receiving excessive subsidy.

According to the application, the tariff for lifeline consumers who consume up to 50 units of electricity per month will remain at Rs 3.95 per unit, while the tariff for consumers consuming between 50 and 100 units will be Rs 7.74 per unit.

For all other consumers and categories, the government has requested a uniform reduction of Rs 1.15 per unit for the financial year 2025-26. However, the discount will be between 3 and 10 per cent, depending on the current rates.

For example, protected consumers using 1 to 100 units will now be charged Rs 10.54 per unit, which is currently Rs 11.69, i.e. a reduction of 9.8 per cent.

Similarly, the rates for consumers using 101 to 200 units in the protected category will be Rs 13.01 per unit instead of Rs 14.16, i.e. an 8 per cent reduction.

For non-protected consumers — that is, those who use more than 200 units of electricity — the rate for the first 100 units will be Rs 23.44 per unit instead of Rs 23.59, which is a reduction of about 5 per cent.

For other categories, such as commercial, industrial, agricultural and bulk consumers, the rates will also be reduced by Rs 1.15 per unit, which will have an impact of 3 to 4 percent.

After this reduction in rates, the average electricity rate will come down to about Rs 31.60 per unit, which is currently about Rs 32.75 per unit.

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