Govt hints at Rs1.5 per unit increase in electricity prices

BusinessMust ReadGovt hints at Rs1.5 per unit increase in electricity pricesBy Aleem Malik-Apr 14, 2026ISLAMABAD: The federal government has indicated a possible increase of around Rs1.5 per unit in electricity prices as Pakistan faces the economic impact of ongoing turmoil in the Middle East. The government has also announced approximately 2.25 hours of daily electricity loadshedding across the country as part of a “peak relief strategy” aimed at preventing a steeper increase of up to Rs6 per unit in power tariffs. Officials said that while efforts are being made to limit the use of expensive fuels such as furnace oil, consumers may still experience an increase of about Rs1.5 per unit. Without these measures, the hike could have reached between Rs5 and Rs6 per unit. In an official statement, the Power Division said that despite challenging global conditions, electricity generation in the country remains stable and sufficient to meet overall demand. However, the statement noted that demand surges significantly during peak hours, and meeting this demand through costly fuel sources could lead to a substantial rise in electricity prices. To address this, the government has decided to suspend power supply for around 2.25 hours daily during peak hours. The measure is intended to minimize reliance on expensive fuel and contain any potential increase in tariffs. The Power Division said the move is being closely monitored under the direct supervision of Prime Minister Shehbaz Sharif, who has directed authorities to keep electricity prices as low as possible. A spokesperson added that 80 MMCFD of local gas has been supplied to power plants on the prime minister’s instructions, helping prevent an increase of about Rs0.80 per unit and reducing the need for additional load management. Read more: Loadshedding hours announced in Pakistan to ‘curtail price hike’ Officials further stated that the purpose of over two hours of peak-hour load management is to prevent an increase of ap...