Govt to end slab system punishing power 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…
Islamabad - Power Minister Awais Leghari announced plans to eliminate the current electricity slab system that penalizes consumers for exceeding the 200-unit threshold, even by a single unit. The mechanism currently provides a subsidy of around Rs13 per unit to those using up to 200 units per month, but any consumer above that limit faces a much higher cost per unit and cannot receive relief for six months.
Leghari stated that the ministry is actively working to abolish this punitive system and explore alternative ways to provide targeted subsidies based on income rather than consumption. The government aims to raise the threshold from 200 to 250 units or allow consumers to regain protected category benefits if they reduce their consumption to 200 units within the same month.
Currently, the number of protected consumers has risen to 20-25 million due to the use of solar energy, but the new system would restrict subsidies to those living below the poverty line and lower-middle income groups. Meanwhile, the power sector's financial situation shows a decline in circular debt to around Rs1.67 trillion, with the government targeting its complete elimination within four years.
Written by urgent.news from Dawn's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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