ISLAMABAD – The federal government is expected to shift the annual rebasing of electricity tariffs from July 1 to January 1, starting from 2025, to alleviate the financial burden on consumers during the summer months when electricity consumption is higher. This adjustment would align tariff hikes with the lower-consumption winter months, easing public dissatisfaction, according to Finance Ministry sources.
The Ministry of Finance has expressed no objection to the proposal from the Power Division, provided there are no financial or subsidy implications. However, it has recommended consulting international development partners, including the IMF, World Bank, and ADB, before presenting the proposal to the Economic Coordination Committee (ECC) for approval.
The Power Division’s proposal seeks to revise the current tariff determination process, which sees significant tariff increases during the summer, contributing to higher electricity bills and public unrest. The rebasing would shift to January, providing more consistent and sustainable electricity pricing throughout the year.
If approved, the National Electric Power Regulatory Authority (Nepra) would adjust its regulatory processes and timelines, enabling the new rebasing schedule by 2025.
Story by Mushtaq Ghumman
