Islamabad: The Government of Pakistan has submitted a request to the National Electric Power Regulatory Authority (NEPRA) to reduce electricity prices.
The federal government has proposed a reduction of Rs. 1.71 per unit in electricity tariffs, which will be provided through tariff subsidies. NEPRA will hold a hearing on this matter on April 4.
According to the government’s proposal, the price reduction should be applied across all distribution companies, including K-Electric, with the subsidy effective from April to June 2025.
Previously, the International Monetary Fund (IMF) provided an update on electricity tariff reductions in Pakistan, following a staff-level agreement with Islamabad that is linked to the release of a $1.3 billion loan tranche.
The IMF’s representative in Pakistan, Meh Benassi, revealed in an informal media briefing that the fund has approved a reduction of Re.1 per unit in electricity tariffs for all consumers.
Benassi further stated that this relief will be financed through levies on gas usage by captive power plants.
Additionally, he disclosed that the government is working on a broader electricity relief package, which will be officially announced after final approval from the IMF.
It is worth noting that Prime Minister Shehbaz Sharif had already pledged relief for electricity consumers across the country.
