Govt to end slab system punishing consumers crossing 200-unit threshold
ISLAMABAD: Power Minister Awais Leghari told the Senate on Tuesday that the government has decided to scrap the electricity slab system that punishes consumers for crossing the 200-unit threshold even by one unit, and to provide targeted subsidy only to those deserving. Under the current mechanism, consumers using up to 200 units per month fall under the “protected” category and avail a subsidy…
The Pakistani government announced plans to eliminate the controversial electricity slab system that penalized consumers for exceeding the 200-unit threshold. Currently, those using up to 200 units per month receive a subsidy of around Rs13 per unit, while any user above that limit pays up to Rs33 per unit and faces a six-month penalty.
Power Minister Awais Leghari told the Senate that the government is expediting the abolition of this system and considering two options: raising the threshold to 250 units or abolishing the penalty, allowing eligible consumers to regain protected status for the month they stay within 200 units. The minister also revealed that the number of protected consumers had surged from 10 million to 20-25 million over the past two years due to solar energy adoption.
Under the new system, subsidies would be restricted to those below the poverty line and lower-middle income groups. Meanwhile, the government aims to reduce circular debt to approximately Rs1.67 trillion and eliminate it within four years. Leghari also mentioned a $1 billion investment in Pakistan's AI ecosystem by 2030, as part of the national AI advancement initiative.
Written by urgent.news from Dawn's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
