Pakistan Lowers Winter Electricity Tariffs to Drive Demand and Industry Growth

Pakistan is set to reduce its electricity tariffs during the winter months to boost consumption, lessen reliance on natural gas for heating, and alleviate costs for businesses and citizens. This initiative aims to encourage an economic recovery and promote cleaner energy solutions.

In a strategic move to mitigate high energy costs and encourage economic recovery, Pakistan plans to lower electricity tariffs during the winter months. The initiative, led by Power Minister Awais Leghari, aims to boost power consumption and ease the financial burden on both citizens and businesses.

The new tariff structure, to be piloted between December 2024 and February 2025, comes as utilities struggle with reduced demand in winter, often up to 60% less than in summer. This initiative is anticipated to stimulate industry growth and reduce reliance on inefficient heating sources such as natural gas and wood.

Amid ongoing discussions with the International Monetary Fund over energy sector reforms, the government aims to adjust power tariffs and reduce taxes. These measures seek to support cleaner transportation alternatives and combat air pollution effectively.

(With inputs from agencies.)