The federal government plans to increase the electricity consumption threshold for protected domestic consumers to 250 units, officials informed the Senate on Tuesday.
Power Minister Sardar Awais Leghari shared the proposal while responding to a calling attention notice during the Senate session. He also said the government would introduce a system to provide targeted subsidies to electricity consumers.
The proposed change could provide relief to households struggling with rising electricity bills. However, officials have not announced a final implementation date for the revised threshold.
Government Plans Targeted Electricity Subsidies
During the session, Leghari highlighted the government’s plans to improve the delivery of electricity subsidies. The proposed measures aim to make financial assistance more targeted and address concerns about the existing protected consumer system.
Under the current mechanism, domestic consumers can lose their protected status after exceeding 200 units of electricity consumption. Consequently, households may face higher tariffs even when their electricity usage falls below the threshold in subsequent months.
Raising the limit to 250 units could allow eligible households to consume more electricity while retaining access to protected rates. Nevertheless, consumers will need official clarification about eligibility requirements and the final billing mechanism.
Circular Debt and Consumer Relief Measures
The power minister also informed senators that Pakistan’s circular debt had declined to approximately Rs1.6 trillion over the previous two and a half years.
The government continues to face pressure to address electricity affordability while improving the financial position of the power sector. Therefore, targeted subsidies and changes to consumer categories remain important issues in ongoing discussions about electricity pricing.
Meanwhile, the Senate also discussed the government’s plans to reopen the Sunday Bazaar at Peshawar Mor in Islamabad. Minister for Parliamentary Affairs Tariq Fazal Chaudhry said consultations with the Islamabad administration were continuing.
He explained that these markets aim to help growers sell produce directly to consumers at affordable prices. The Senate will reconvene on Thursday at 3pm.
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