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Protected Electricity Slab Unlikely to be Expanded to 300 Units: Minister

Electricity Charges for Low-Use Households Drop by 60% Over Nine Months, Says Federal Minister

Federal Minister for Power, Sardar Awais Ahmad Khan Leghari, informed the National Assembly on Monday that electricity charges for households consuming up to 200 units per month have decreased by approximately 60 percent over the past nine months.

Responding to a question during Question Hour, the minister said that out of Pakistan’s 35 million electricity consumers, about 18.3 million households are currently benefiting from subsidies. Specifically, 90 percent subsidies are provided for those using up to 100 units, while households consuming between 100 and 200 units receive a 70 percent subsidy.

Leghari explained that extending the subsidized slab from 200 to 300 units would require an additional Rs. 275 billion in subsidies, which is not feasible given current financial constraints. However, he emphasized that the government continues to support low-use consumers through significant subsidy programs.

Addressing concerns about cryptocurrency mining, the minister clarified that no subsidized electricity rates have been granted to any crypto mining operations in Pakistan. He added that no official tariff, rate, or regulatory framework has been approved for crypto-related ventures.

Furthermore, the government has introduced a new electricity tariff package for the entire industrial sector without subsidies to enhance competitiveness, especially for export-focused industries. Approximately 7,500 MW of additional power is currently available, and discussions are ongoing with development partners and the IMF to utilize this capacity to improve grid stability.

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