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Why is govt selling up to Rs 80 per unit against its Rs 9/unit cost? Ex-Minister exposes this fraud

ISLAMABAD: Former caretaker commerce minister Dr. Gohar Ejaz has expressed concerns over the manifold increase in electricity bills, questioning how the cost per unit has escalated to as high as Rs80 when the production cost in July was only Rs9 per unit.

In a tweet, Dr. Ejaz pointed out that in July, the total average electricity generation was 20,000 megawatts, with 35% of this—about 7,000 megawatts—produced from hydropower sources.

He emphasized that the production cost for electricity in July was Rs9.03 per unit, yet consumers are being charged rates as high as Rs40, Rs60, or even Rs80 per unit.

Dr. Gohar Ejaz tweeted, “In July, the total average electricity generation was 20,000 megawatts, with 35% of this—7,000 megawatts—coming from hydropower sources.” He added, “The production cost for electricity in July was Rs9.03 per unit. So how are the bills reaching Rs40, Rs60, or even Rs80 per unit?”

Dr. Ejaz criticized the situation, attributing the exorbitant bills to “mismanagement and the payment of capacity charges for electricity that is not actually produced.”

He noted that Pakistan has the capacity to generate over 43,000 megawatts of electricity but emphasized that “Pakistan should only pay for the electricity that is actually generated.”

He urged the federal government to ensure fairness for all consumers—residential, commercial, industrial, and agricultural—highlighting that “many are struggling under the current rates.”

Written By

I am an experienced writer, analyst, and author. My exposure in English journalism spans more than 28 years. In the past, I have been working with daily The Muslim (Lahore Bureau), daily Business Recorder (Lahore/Islamabad Bureaus), Daily Times, Islamabad, daily The Nation (Lahore and Karachi). With daily The Nation, I have served as Resident Editor, Karachi. Since 2009, I have been working as a Freelance Writer/Editor for American organizations.

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