Pakistan Reduces Industrial Electricity Tariffs by Up to Rs4.58 Per Unit
\n\nPakistan has implemented significant reductions in electricity tariffs for industrial consumers, cutting rates by up to Rs4.58 per unit across all major categories. This decisive government action provides much-needed relief to factories and businesses that have been struggling with some of the highest power costs in the region.
\n\nThe federal government formally notified the decision by the power regulator to lower per-unit rates effective February 2026, demonstrating responsible economic stewardship during challenging times.
\n\nComprehensive Industrial Relief Package
\n\p>The notification, issued by the power division, enforces a ruling by the National Electric Power Regulatory Authority (Nepra) dated February 11, 2026. The new tariffs replace earlier rates and apply to all distribution companies, including K-Electric, until end-December 2026.\n\nUnder the revised framework, small industrial consumers in the B1 category will now pay an energy charge of Rs 26.23 per unit, down from Rs 30.80 previously. This represents a substantial reduction that will help small businesses maintain competitiveness and preserve jobs.
\n\nPeak-hour rates have been reduced from Rs 36.74 to Rs 35.74 per unit, while off-peak rates have dropped significantly from Rs 30.05 to Rs 25.48. However, B1 consumers will now face a new fixed monthly charge of Rs1,250 per consumer, reflecting a more balanced approach to cost recovery.
\n\nMedium and Large Industry Benefits
\n\nFor medium-sized industries in the B2 category, the energy tariff has been cut from Rs 30.73 to Rs 26.16 per unit. Peak rates have declined from Rs 36.68 to Rs 35.68, while off-peak rates have seen a substantial reduction from Rs 27.41 to Rs 22.83 per unit.
\n\nHigh-tension industrial consumers in the B3 category will now pay Rs 27 per unit in energy charges, compared with Rs 31 earlier. The largest industrial users in the B4 category have also received meaningful relief, with energy charges reduced from Rs 30.43 to Rs 26.43 per unit.
\n\nThese reductions bring down energy charges by approximately Rs4 to Rs5 per unit across most industrial categories, with the biggest benefit coming through lower off-peak rates. This is particularly crucial for export-oriented and continuous-process industries that form the backbone of Pakistan's manufacturing sector.
\n\nHousehold Tariff Adjustments
\n\nFor households under the new Schedule of Tariff, lifeline consumers using up to 50 units and 51-100 units will continue to pay Rs3.95 and Rs7.74 per unit respectively, without any fixed charge. This protects the most vulnerable consumers while ensuring system sustainability.
\n\nProtected domestic consumers will now pay fixed charges ranging from Rs200 to Rs300 per kW per month, while non-protected consumers face fixed charges from Rs275 to Rs675 per kW per month for higher consumption levels.
\n\nThe tariff structure reflects a responsible approach to balancing affordability with the need for sustainable power sector financing, ensuring long-term energy security for Pakistan's growing economy.