The Punjab government has officially ended the Rs14 per unit electricity subsidy for Islamabad consumers, which was announced in August for a two-month period. This change was confirmed by the Islamabad Electric Supply Company (IESCO) in a statement on Wednesday.
As per IESCO’s notification, residents of Islamabad will not receive any relief in their electricity bills for September. The utility company also revealed that updates have been issued to adjust the billing software accordingly.
The Rs45 billion subsidy, announced on August 16 by Pakistan Muslim League-Nawaz (PML-N) President Nawaz Sharif, was intended to benefit electricity consumers in Punjab and the federal capital who consume between 201 to 500 units per month. While Islamabad residents will no longer benefit, consumers in Punjab will continue to receive the relief in their next month’s power bills.
The decision to cut off the subsidy has sparked criticism from political leaders, particularly from Sindh and Khyber Pakhtunkhwa (KP). Opponents argue that the subsidy was a short-term solution to skyrocketing electricity tariffs and did not address the need for more sustainable relief measures.
Murtaza Wahab, a leader of the Pakistan People’s Party (PPP), expressed his concerns on Geo News, stating that long-term solutions are essential to easing the burden on citizens. He emphasized the need for policies that provide enduring relief rather than temporary subsidies.
Karachi Mayor, whose party is in coalition with PML-N at the federal level, also called on the government to develop comprehensive strategies to tackle the rising cost of electricity.
KP’s Finance Adviser Muzammil Aslam also voiced his opposition to the subsidy, claiming it wasted public resources under the guise of relief. He pointed out that electricity production costs in KP were far lower, at Rs8 per unit, thanks to new power projects, compared to Rs75 per unit in Punjab due to the use of imported furnace oil.
By focusing on long-term, sustainable energy solutions, these political leaders argue, the government can provide more meaningful relief to the masses struggling under the burden of high electricity costs.