The government of Pakistan is planning a major reform of the country’s electricity and gas bills system. The proposed changes aim to move away from the current consumption-based model and introduce a structure where bills are determined according to household income levels.
Under the new system, subsidies and discounts on electricity and gas bills will be provided based on the financial capacity of each household. This approach is designed to help lower-income families by reducing their bills, while ensuring that higher-income households contribute a fairer share toward their energy costs.
The initiative is part of the government’s broader economic strategy and aligns with commitments made to the International Monetary Fund (IMF). By linking bills to income, the authorities hope to create a more equitable and sustainable approach to utility payments across Pakistan.
Officials believe this reform will result in a fairer distribution of subsidies, as energy bills will reflect both usage and household affordability. The shift is expected to reduce financial strain on vulnerable families while encouraging responsible consumption among all households.
Experts suggest that income-based bills could also improve collection efficiency, as households are charged according to their means, reducing the burden of arrears and unpaid utility payments. The government is currently finalizing the policy framework and expects to roll out the revised bills system after completing all regulatory and operational preparations.
This reform marks a significant step in Pakistan’s efforts to modernize its energy sector, making bills more transparent, equitable, and aligned with social and economic realities. By focusing on household income, the government aims to balance financial support for the needy while promoting fairness and accountability in the country’s utility sector
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