Government Ends Duty Collection via Electricity Bills

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Hassan Khan

Government Ends Duty Collection via Electricity Bills

ISLAMABAD – Federal Minister for Energy Awais Leghari has urged all provincial governments to eliminate the electricity duty currently charged through monthly power bills, effective from July 1, 2025.

Leghari emphasized the importance of provincial collaboration in advancing the federal government’s broader energy sector reforms. He also advised provinces to consider alternative avenues for generating revenue instead of placing additional financial burdens on consumers through electricity bills.

This development follows Prime Minister Shehbaz Sharif’s recent announcement to remove the Pakistan Television (PTV) license fee from electricity bills nationwide. The announcement was made during the launch of the “Apna Meter, Apni Reading” mobile app, part of ongoing efforts to cut costs and improve efficiency in the power sector.

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Highlighting the urgency of reform, the prime minister revealed that electricity theft accounts for an annual loss of Rs. 500 billion and called for decisive measures to combat the issue. He also noted the growing impact of solar energy in reducing national power demand and reaffirmed the government’s commitment to promoting solarization initiatives.

Additionally, Shehbaz Sharif announced significant reductions in electricity prices, with a Rs. 4.5 per unit cut achieved through renegotiations with independent power producers (IPPs) and a further Rs. 7.5 per unit decrease attributed to falling global oil prices.

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