ISLAMABAD: Federal Minister for Energy Owais Leghari has firmly rejected reports suggesting that the government is ending electricity subsidies for protected consumers, calling such claims misleading and contrary to facts.Speaking about ongoing power sector reforms, the minister said the number of protected consumers has increased from 9.5 million to 21.5 million over the past four years. Currently, around 29.57 million domestic consumers—representing 86 percent of the total—are benefiting from subsidized electricity.Leghari noted that electricity subsidies have risen from Rs199 billion to Rs423 billion, while a total of Rs527 billion in subsidies is being provided to domestic and agricultural consumers.
He assured that eligible consumers would continue receiving uninterrupted support through the QR code-based subsidy system.The minister said the government has introduced a registration mechanism to ensure subsidies reach deserving households, with more than two million single-phase consumers already registered.Highlighting the impact of reforms, Leghari stated that renegotiation of Independent Power Producer (IPP) agreements has generated savings of Rs3.5 trillion. Additional savings of Rs193 billion were achieved through reduced losses in power distribution companies, while circular debt declined by Rs780 billion during fiscal year 2024-25.He added that electricity tariffs have fallen significantly across various consumer categories since March 2024. Protected consumers have seen a 31 percent reduction in tariffs, domestic users 16 percent, industrial consumers 33 percent, agricultural users 14 percent, and consumers in Azad Jammu and Kashmir 45 percent.
Addressing renewable energy policies, the minister emphasized that the government is not discouraging solar adoption. Instead, reforms are aimed at improving transparency and efficiency. He announced that licensing requirements for solar projects up to 25 kilowatts have been abolished and clarified that net metering remains fully operational.Reaffirming the government’s commitment to consumer relief, Leghari said subsidies for protected consumers will continue, while ongoing reforms are helping lower electricity costs and strengthen Pakistan’s energy sector.
