The government is considering raising the threshold for subsidized, protected electricity rates from 200 to 300 units, a move that could bring significant relief to millions of households. This potential change comes in response to growing complaints from consumers who face sharp price hikes when their electricity usage slightly exceeds the current protected limit.
Sources in the Ministry of Energy have revealed that a high-level committee will be formed to review the existing policy. Under the present system, customers who use more than 200 units of electricity per month are classified as non-protected, resulting in a substantial increase in their per-unit electricity charges and monthly bills. Lawmakers have highlighted that many families, especially those with low or middle incomes, are being unfairly penalized for minor increases in their consumption, sometimes seeing their bills rise by as much as Rs 5,000.
The proposed adjustment would raise the protected category limit to 300 units, so only households consuming more than 300 units would pay the higher, non-protected rates. This change aims to make the system fairer and better aligned with the current energy needs of Pakistani families, who lawmakers argue have outgrown the 200-unit benchmark due to rising standards of living and increased appliance use.
The committee will also evaluate the financial implications of expanding the protected unit limit, with an eye towards balancing consumer relief and the government’s budgetary constraints. The group is expected to submit its findings and recommendations in the near future.
If the proposal is adopted, it could provide immediate financial relief for millions of customers, protecting them from sudden tariff increases triggered by moderate rises in electricity usage.