The Power Division has rejected reports claiming that Pakistan has increased electricity tariffs for industrial consumers, clarifying that the recently reported Rs. 25.30 per unit rate does not represent the regular industrial electricity tariff.
According to the Power Division, the figure refers to a revised marginal electricity rate introduced under the Incremental Consumption Package. The clarification aims to address confusion surrounding the latest electricity pricing structure and its impact on industrial consumers.
A spokesperson for the Power Division stated that industrial electricity rates have actually decreased significantly compared with the rates applicable in March 2024. The government claims that the reduction amounts to approximately Rs. 18.94 per unit, including taxes.
The clarification comes amid discussions about electricity costs and their impact on Pakistan’s industrial sector. Electricity tariffs remain an important concern for manufacturers, exporters and businesses, as energy expenses directly influence production costs and overall operating budgets.
The Power Division further explained that the average industrial electricity rate stood at Rs. 34.40 per kilowatt-hour in October 2026, excluding taxes. This figure provides a clearer picture of the prevailing industrial electricity pricing compared with the separate marginal rate mentioned in reports.
The difference between the regular industrial tariff and the incremental consumption rate is important for understanding the government’s clarification. The Incremental Consumption Package is designed around additional electricity consumption, meaning its marginal rate applies under a specific pricing arrangement rather than representing the standard tariff for all industrial electricity usage.
The government maintains that the reported Rs. 25.30 per unit figure has been misinterpreted in some reports. According to the Power Division, presenting this rate as a general increase in industrial electricity tariffs creates an inaccurate impression of the current pricing structure.
Industrial electricity prices have remained a significant issue for businesses in Pakistan. Manufacturers rely heavily on affordable and consistent electricity supplies to maintain production, manage expenses and remain competitive in local and international markets.
Higher energy costs can increase the prices of manufactured goods and put additional pressure on businesses. Conversely, lower electricity rates can provide financial relief to industrial units and potentially support production activities.
The government’s latest clarification highlights its position that industrial electricity has become cheaper compared with March 2024. However, the actual electricity bill for individual businesses may vary depending on consumption levels, applicable taxes and other tariff components.
The distinction between the regular tariff and the incremental consumption rate is therefore essential for consumers evaluating the latest electricity pricing developments.
The Power Division’s statement seeks to clarify the reported figures and explain the government’s position on industrial electricity costs. Further attention is expected to remain on electricity pricing as businesses continue to monitor energy expenses and their impact on Pakistan’s industrial growth.