Govt cuts additional power unit rate for industry, agriculture to Rs22.98

ISLAMABAD: The federal government has approved a major reduction in electricity rates for additional industrial and agricultural consumption, bringing the tariff down to Rs 22.98 per unit—a sharp cut from the previous Rs34 for industry and Rs38 for agriculture.

The Nepra has cleared the concessional tariff on a government reference, and the decision has been conveyed to the federal authorities.

According to the Power Division, the package applies only to consumption exceeding last year’s usage and will not affect domestic or commercial consumers.

Energy Minister Awais Leghari said the three-year package is expected to boost industrial and farm output, stimulate production and create new employment opportunities. Greenfield industries, including data centres and crypto-mining operations, will also benefit from the reduced rates.

He said the revised tariff structure would lower the average cost of electricity for both sectors, with agriculture seeing an estimated reduction of Rs7 per unit on additional usage and industry around Rs5 per unit.

Leghari added that industry and agriculture form the backbone of the economy, and easing electricity costs would support overall economic activity. The Power Division has begun work on issuing the notification, after which the package will formally take effect.