• About Us
  • Cookie Policy
  • Privacy Policy
  • Disclaimer
  • Contact Us
Wednesday, July 30, 2025
  • Login
No Result
View All Result
Time Line News
  • Home
  • Latest News
  • Pakistan
  • World
  • Business
  • Sports
  • Entertainment
    Why Bushra Ansari Divorced Her Husband After 38 Years: The Actress Shares Her Story

    Why Bushra Ansari Divorced Her Husband After 38 Years: The Actress Shares Her Story

    Zara Noor Abbas Sparks Vital Conversation on Joint Family System: Fans Applaud Her Heartfelt Tribute to Tradition

    Zara Noor Abbas Sparks Vital Conversation on Joint Family System: Fans Applaud Her Heartfelt Tribute to Tradition

    Actress Hina Rizvi Falls Victim to Online Fraud, Loses Millions in E-Bike Scam

    Actress Hina Rizvi Falls Victim to Online Fraud, Loses Millions in E-Bike Scam

    Alizeh Shah Claims to Be Receiving Death Threats Amid Ongoing Social Media Controversy

    Alizeh Shah Claims to Be Receiving Death Threats Amid Ongoing Social Media Controversy

    Ahmed Hassan’s Foot Massage Confession Sparks Online Debate: A Deep Dive into Love, Gender Roles, and Public Opinion

    Ahmed Hassan’s Foot Massage Confession Sparks Online Debate: A Deep Dive into Love, Gender Roles, and Public Opinion

    Saheefa Jabbar Khattak's Powerful Critique of Pakistan's Showbiz Industry: A Wake-Up Call for Change

    Saheefa Jabbar Khattak’s Powerful Critique of Pakistan’s Showbiz Industry: A Wake-Up Call for Change

    Bushra Ansari Calls for Strict Monitoring of Madrasas and Parental Responsibility After Tragic Child Death in Swat

    Bushra Ansari Calls for Strict Monitoring of Madrasas and Parental Responsibility After Tragic Child Death in Swat

    “Every Story is the Same”: Saheefa Jabbar Criticizes Pakistani Drama Industry’s Repetitive and Unrealistic Narratives

    “Every Story is the Same”: Saheefa Jabbar Criticizes Pakistani Drama Industry’s Repetitive and Unrealistic Narratives

    Sayara's Historic Box Office Success: The Real Reason Behind Ahan Pandey’s Dream Debut

    Sayara’s Historic Box Office Success: The Real Reason Behind Ahan Pandey’s Dream Debut

  • Technology
    How Do Black Boxes in Airplanes Survive Even the Most Devastating Accidents?

    How Do Black Boxes in Airplanes Survive Even the Most Devastating Accidents?

    Samsung Galaxy S25 FE: Key Specs, Storage Options, and Color Leaks Surface Ahead of Official Launch

    Samsung Galaxy S25 FE: Key Specs, Storage Options, and Color Leaks Surface Ahead of Official Launch

    Walking 7,000 Steps a Day Can Extend Lifespan, Reduce Risk of Early Death, Says New Study

    Walking 7,000 Steps a Day Can Extend Lifespan, Reduce Risk of Early Death, Says New Study

    NASA Unveils Stunning New Images of Distant Galaxies and Star-Forming Regions

    NASA Unveils Stunning New Images of Distant Galaxies and Star-Forming Regions

    Swiss Engineer Introduces Innovative 'Obsoles' Case to Add USB-C Functionality to Older iPhones

    Swiss Engineer Introduces Innovative ‘Obsoles’ Case to Add USB-C Functionality to Older iPhones

    TikTok Deletes Nearly 25 Million Videos in Pakistan in Three Months: Community Guidelines Report Q1 2025

    TikTok Deletes Nearly 25 Million Videos in Pakistan in Three Months: Community Guidelines Report Q1 2025

    Trending Tags

    • Sillicon Valley
    • Climate Change
    • Election Results
    • Flat Earth
    • Golden Globes
    • MotoGP 2017
    • Mr. Robot
  • Health
  • Editorial
    • Blog
    • Opinion
  • E-Paper
  • Home
  • Latest News
  • Pakistan
  • World
  • Business
  • Sports
  • Entertainment
    Why Bushra Ansari Divorced Her Husband After 38 Years: The Actress Shares Her Story

    Why Bushra Ansari Divorced Her Husband After 38 Years: The Actress Shares Her Story

    Zara Noor Abbas Sparks Vital Conversation on Joint Family System: Fans Applaud Her Heartfelt Tribute to Tradition

    Zara Noor Abbas Sparks Vital Conversation on Joint Family System: Fans Applaud Her Heartfelt Tribute to Tradition

    Actress Hina Rizvi Falls Victim to Online Fraud, Loses Millions in E-Bike Scam

    Actress Hina Rizvi Falls Victim to Online Fraud, Loses Millions in E-Bike Scam

    Alizeh Shah Claims to Be Receiving Death Threats Amid Ongoing Social Media Controversy

    Alizeh Shah Claims to Be Receiving Death Threats Amid Ongoing Social Media Controversy

    Ahmed Hassan’s Foot Massage Confession Sparks Online Debate: A Deep Dive into Love, Gender Roles, and Public Opinion

    Ahmed Hassan’s Foot Massage Confession Sparks Online Debate: A Deep Dive into Love, Gender Roles, and Public Opinion

    Saheefa Jabbar Khattak's Powerful Critique of Pakistan's Showbiz Industry: A Wake-Up Call for Change

    Saheefa Jabbar Khattak’s Powerful Critique of Pakistan’s Showbiz Industry: A Wake-Up Call for Change

    Bushra Ansari Calls for Strict Monitoring of Madrasas and Parental Responsibility After Tragic Child Death in Swat

    Bushra Ansari Calls for Strict Monitoring of Madrasas and Parental Responsibility After Tragic Child Death in Swat

    “Every Story is the Same”: Saheefa Jabbar Criticizes Pakistani Drama Industry’s Repetitive and Unrealistic Narratives

    “Every Story is the Same”: Saheefa Jabbar Criticizes Pakistani Drama Industry’s Repetitive and Unrealistic Narratives

    Sayara's Historic Box Office Success: The Real Reason Behind Ahan Pandey’s Dream Debut

    Sayara’s Historic Box Office Success: The Real Reason Behind Ahan Pandey’s Dream Debut

  • Technology
    How Do Black Boxes in Airplanes Survive Even the Most Devastating Accidents?

    How Do Black Boxes in Airplanes Survive Even the Most Devastating Accidents?

    Samsung Galaxy S25 FE: Key Specs, Storage Options, and Color Leaks Surface Ahead of Official Launch

    Samsung Galaxy S25 FE: Key Specs, Storage Options, and Color Leaks Surface Ahead of Official Launch

    Walking 7,000 Steps a Day Can Extend Lifespan, Reduce Risk of Early Death, Says New Study

    Walking 7,000 Steps a Day Can Extend Lifespan, Reduce Risk of Early Death, Says New Study

    NASA Unveils Stunning New Images of Distant Galaxies and Star-Forming Regions

    NASA Unveils Stunning New Images of Distant Galaxies and Star-Forming Regions

    Swiss Engineer Introduces Innovative 'Obsoles' Case to Add USB-C Functionality to Older iPhones

    Swiss Engineer Introduces Innovative ‘Obsoles’ Case to Add USB-C Functionality to Older iPhones

    TikTok Deletes Nearly 25 Million Videos in Pakistan in Three Months: Community Guidelines Report Q1 2025

    TikTok Deletes Nearly 25 Million Videos in Pakistan in Three Months: Community Guidelines Report Q1 2025

    Trending Tags

    • Sillicon Valley
    • Climate Change
    • Election Results
    • Flat Earth
    • Golden Globes
    • MotoGP 2017
    • Mr. Robot
  • Health
  • Editorial
    • Blog
    • Opinion
  • E-Paper
No Result
View All Result
Time Line News
No Result
View All Result
Home Top Stories

Government Announces Reduction in Electricity Prices Across Pakistan from July 1

by Web Desk
June 30, 2025
in Top Stories
Government Announces Reduction in Electricity Prices Across Pakistan from July 1
Share on FacebookShare on Twitter

Introduction: Relief on the Horizon for Electricity Consumers

In a significant move aimed at providing relief to electricity consumers and improving affordability, the Government of Pakistan has announced a reduction in electricity prices starting from July 1, 2025. The proposal, submitted to the National Electric Power Regulatory Authority (NEPRA), suggests a uniform reduction of Rs 1.15 per unit, with the revised tariffs expected to apply across most consumer categories except lifeline domestic users.

This decision comes as part of broader energy sector reforms aligned with the government’s fiscal and energy policies under its agreement with the International Monetary Fund (IMF), aiming to improve efficiency and reduce financial losses in the power sector.


NEPRA’s Role and Scheduled Public Hearing

NEPRA has scheduled a public hearing on July 1 to finalize the regulatory process. Only after this hearing will the new rates be officially notified and implemented. NEPRA’s role is crucial in ensuring that electricity tariffs align with distribution company (DISCO) revenue requirements, fuel cost adjustments, and national socio-economic goals.


Tariff Reduction Details for Domestic Consumers

The reduction in electricity prices is a targeted initiative designed to benefit the majority of consumers without disturbing subsidies extended to the most vulnerable.

Lifeline Consumers:

The two lowest slabs, generally used by lifeline customers consuming up to 100 units per month, will remain unchanged due to existing government subsidies.

  • Up to 50 units: Rs 3.95/unit (no change)
  • 50 to 100 units: Rs 7.74/unit (no change)

Protected Domestic Consumers:

Protected categories refer to households consuming fewer than 200 units/month for at least six months.

  • 1–100 units: Reduction from Rs 11.69 to Rs 10.54/unit (approx. 9.8% decrease)
  • 101–200 units: Reduction from Rs 14.16 to Rs 13.01/unit (8% decrease)

Non-Protected Domestic Consumers:

Non-protected households, typically consuming above 200 units, will also benefit:

  • First 100 units: Reduced from Rs 23.59 to Rs 23.44/unit (5% decrease)

This restructuring reflects the government’s intent to balance consumer affordability while also minimizing the fiscal burden of subsidies.


Tariff Reduction for Other Consumer Categories

The price reduction is not limited to domestic users. A uniform cut of Rs 1.15 per unit has also been proposed for the following sectors:

  • Commercial consumers
  • Industrial consumers
  • Agricultural users
  • Bulk supply consumers

While the percentage reduction in these categories may range between 3% and 4%, the absolute decline in unit cost will help ease the operational burden on businesses, potentially stimulating economic activity.


Impact on Average Tariff

Following the proposed revision:

  • The average national electricity tariff will reduce from Rs 32.75 to Rs 31.60 per unit.
  • NEPRA has also projected a new average tariff of Rs 34 per unit for FY 2025–26, down from Rs 35.50 in FY 2024–25.

These adjustments are made in light of the revenue requirements of DISCOs, reductions in federal subsidies, and macroeconomic reforms introduced in the budget.


Fiscal Policy, Subsidies, and IMF Agreement

The government’s revised electricity tariffs align with its budgetary commitments to the IMF, which include reducing subsidy expenditures and improving the financial health of the energy sector.

Key Subsidy Changes for 2025–26:

  • Total Power Sector Subsidy: Rs 1.04 trillion (↓ from Rs 1.19 trillion in 2024–25)
  • Inter-Disco Tariff Differential Subsidy (TDS): Rs 249.14 billion (↓ 10%)
  • Balochistan Agricultural Tubewell Subsidy: Reduced from Rs 9.5 billion to Rs 4 billion
  • Merged Districts of Khyber Pakhtunkhwa (Ex-FATA): Cut from Rs 65 billion to Rs 40 billion (↓ 38%)
  • K-Electric Subsidy: Reduced from Rs 174 billion to Rs 125 billion (↓ 28%)
  • Azad Jammu & Kashmir (AJK): Rs 108 billion reduced to Rs 74 billion (↓ 31.5%)

These reductions reflect a significant shift from blanket subsidies to targeted financial assistance, improving fiscal efficiency while ensuring social equity.


Consistency with National Electricity Policy 2021

The Power Division stated that the proposed reduction is consistent with Clause 5.6.1 of the National Electricity Policy 2021, which emphasizes:

  • Financial sustainability
  • Full cost recovery
  • Efficient tariff structures

By adjusting the average cost-to-service and incorporating targeted cross-subsidies, the policy aims to reduce losses, ensure timely payments to generators, and make the power sector bankable for private investments.


Uniform Tariffs for DISCOs and KE

The federal government has reaffirmed its commitment to uniform tariff application, even after the privatization of K-Electric (KE) and other DISCOs. Whether directly or indirectly, the government will ensure that subsidies continue to maintain tariff parity for consumers across Pakistan.

The variable charges applicable to KE are also set to be revised in accordance with the revenue requirements determined by NEPRA, taking into account regional variations, operational costs, and subsidy allocations.


Strategic Implications and Consumer Impact

This price revision is expected to have wide-reaching implications:

For Consumers:

  • Reduced bills will offer financial relief during a period of high inflation.
  • Middle- and lower-income households will benefit most from reductions in protected categories.

For Industry:

  • Lower input costs for commercial and industrial sectors may lead to higher productivity and export competitiveness.
  • Could help revive struggling SMEs and reduce closure risks for power-intensive businesses.

For the Economy:

  • The move can stimulate consumer spending.
  • May reduce circular debt pressure, improving the financial health of the power sector.

Ongoing Reforms and Outlook

The government’s move is a part of a broader agenda to restructure the power and energy sectors by:

  • Encouraging privatization
  • Enhancing DISCO efficiency
  • Transitioning to cost-reflective tariffs
  • Scaling down untargeted subsidies

Moreover, with the establishment of the Pakistan Energy Resolving Fund, set at Rs 48 billion for 2025–26, the government is ensuring timely payments to Chinese investors under CPEC energy projects, further stabilizing the sector.


Conclusion: A Balanced Approach Toward Affordability and Fiscal Discipline

The proposed reduction in electricity tariffs, effective from July 1, signals a balanced approach by the government: easing the burden on consumers while advancing key fiscal reforms and sectoral sustainability goals.

As the public hearing by NEPRA approaches, it is expected that the proposed revisions will be approved with minimal changes, paving the way for their formal implementation.

These developments reflect the government’s commitment to ensuring affordable electricity while staying aligned with international financial obligations and preparing for a more privatized, efficient, and consumer-centric energy future.

Read more:…

Tags: commissiongovernmentinternationalNationalsocial mediatime line news
Web Desk

Web Desk

Related Posts

Trump Opposes Recognition of Palestine, Calls It a “Reward to Hamas”

Trump Opposes Recognition of Palestine, Calls It a “Reward to Hamas”

by Web Desk
July 30, 2025
0

Washington, D.C. – Former U.S. President Donald J. Trump has voiced strong opposition to the recognition of a Palestinian state,...

Saudi Arabia Urges Global Community: “Talk to Palestine First, Then Israel” at High-Level UN Conference

Saudi Arabia Urges Global Community: “Talk to Palestine First, Then Israel” at High-Level UN Conference

by Web Desk
July 29, 2025
0

New York — A high-profile international conference convened at the United Nations headquarters in New York, jointly hosted by Saudi...

Karachi CTD Operation: Three Khawarij Involved in Attack on Chinese Nationals Killed in Armed Encounter

Karachi CTD Operation: Three Khawarij Involved in Attack on Chinese Nationals Killed in Armed Encounter

by Web Desk
July 28, 2025
0

KARACHI, Pakistan – In a major counter-terrorism operation conducted by the Counter-Terrorism Department (CTD) in Karachi’s Manghopir area, three militants...

Israeli Forces Seize Humanitarian Aid Ship Hanzala En Route to Gaza

Israeli Forces Seize Humanitarian Aid Ship Hanzala En Route to Gaza

by Web Desk
July 27, 2025
0

Overview of the Incident Gaza – In a controversial move condemned by humanitarian groups worldwide, Israeli naval forces attacked and...

India’s Regional Dominance Derailed Between May 7–10, Says Ishaq Dar at Atlantic Council

India’s Regional Dominance Derailed Between May 7–10, Says Ishaq Dar at Atlantic Council

by Web Desk
July 26, 2025
0

Washington, D.C.: In a candid and thought-provoking address to the prestigious Atlantic Council, Pakistan’s Deputy Prime Minister and Foreign Minister,...

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

Notice to Superintendent Adiala Jail for not meeting Imran Khan

Notice to Superintendent Adiala Jail for not meeting Imran Khan

9 months ago
For Comprehensive National Security, One Needs a Whole-of-Nation Approach

For Comprehensive National Security, One Needs a Whole-of-Nation Approach

9 months ago

Category

  • Home
  • Top Stories
  • Latest News
  • Pakistan
  • World
  • Business
  • Sports
  • Entertainment
  • Technology
  • Health
  • Lifestyle
  • Editorial
  • Blog
  • Opinion
  • E-Paper

Social Media

Facebook Instagram Twitter LinkedIn

About us

“Time Line News” is where knowledge meets enlightenment.

With a commitment to providing accurate, fair updates, we aim to be your go-to source for information on local and global events.

  • About Us
  • Cookie Policy
  • Privacy Policy
  • Disclaimer
  • Contact Us

Time Line News © 2024. All Rights Reserved. Website Designed & Developed by AK Web Solutions

No Result
View All Result
  • Home
  • Top Stories
  • Latest News
  • Pakistan
  • World
  • Business
  • Sports
  • Entertainment
  • Technology
  • Health
  • Lifestyle
  • Editorial
  • Blog
  • Opinion
  • E-Paper

Time Line News © 2024. All Rights Reserved. Website Designed & Developed by AK Web Solutions

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In