The International Monetary Fund (IMF) has approved a Rs. 1 per unit reduction in electricity tariffs for all consumers in Pakistan, offering much-needed financial relief amid rising energy costs.
This Rs. 1 per unit discount will be reflected in electri-bills across the country, providing relief to both residential and commercial consumers. The reduction is being financed through a levy imposed on captive power plants that rely on natural gas for electricity generation. The government has introduced this gas usage levy on captive power plants to generate additional revenue, which will then be used to subsidize electricity costs for the general public.
In addition to this relief measure, the government is working on a broader electricity relief package to further ease the burden on consumers. However, the final implementation of this package is subject to IMF approval, and details will be disclosed once the international lender gives the green light.
This decision by the IMF comes as part of ongoing efforts to stabilize Pakistan’s energy sector while ensuring that rising electricity costs do not place excessive pressure on consumers. With inflation already straining household budgets, this initiative is expected to bring some level of financial ease to millions of electricity-users in the country.