Electricity Bills may Increase in July with New Surcharge

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Sameer

The government has decided to introduce an additional surcharge on electricity consumers, likely leading to a further hike in power tariffs.

The proposal came alongside the presentation of Budget 2025-26 in the National Assembly, with efforts underway to shift more financial burden onto electricity users.

Read more: IMF Approves Electricity Tariff Reduction for Pakistan

According to reports, authorities plan to remove the current 10% cap on electricity bill surcharges by amending the NEPRA Act, giving the government legal authority to impose surcharges through legislation. This change would allow the government to apply surcharges on a case-by-case basis for specific durations.

A surcharge of up to Rs3.23 per unit is being considered, though no final approval has been given yet.

If implemented, this amendment would enable the government to impose additional charges on electricity bills whenever needed to meet budgetary or financial requirements, adding more inflationary pressure on consumers.

Historically, surcharges on electricity bills have been used to service the interest on Pakistan’s circular debt.

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