Islamabad: The federal government has announced a major relief package for electricity consumers in Pakistan, under which the collection of electricity duty on electricity bills will be stopped from July 1, 2025. All provincial chief ministers have been formally informed of this important decision, which aims to reduce the increasing financial burden of electricity on consumers.
Federal Minister for Energy, Owais Leghari, while confirming the decision, said that the government’s main priority is to make electricity bills simple and transparent. He explained that “consumers are confused by multiple charges and duties in bills, and we want the bills to reflect only the actual cost of electricity.” Minister Leghari has urged all provinces to suggest alternative means for collecting electricity duty, so that consumers only have to pay the cost of electricity and additional charges can be eliminated.
Power Minister Owais Leghari has written letters to all provincial chief ministers regarding this decision, highlighting the details of the federal government’s move and its potential benefits. The letter also highlights the government’s steps to reduce electricity tariffs, including reviewing the contracts of Independent Power Producers (IPPs) and reducing the return on equity of state-owned power plants. These steps indicate the government’s commitment to bring sustainable reforms in the energy sector and reduce the financial pressure on the public. The decision is expected to provide major financial relief to consumers in the long run and will also bring significant transparency in the structure of electricity bills.
