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Pakistan’s proposed Consumer End Tariff for February 2026 outlines key adjustments to electricity pricing across various categories, including industrial, residential, commercial, bulk, agricultural, and prepaid. The proposal focuses on aligning tariffs more closely with actual system costs while revising the structure of fixed charges.
Under the plan, industrial consumers are set to receive relief through a reduction of approximately PKR 4 per unit in electricity rates. Variable charges in several industrial categories are proposed to decrease, particularly for off-peak usage. The removal of cross-subsidies on industry is intended to bring tariffs closer to cost-of-service principles and improve competitiveness.
For residential consumers, the main change is the introduction of fixed charges based on sanctioned load. While variable rates for lifeline and protected users remain largely unchanged, billing methodology will shift toward a load-based system. For Time-of-Use consumers, fixed charges would apply to 50% of the sanctioned load or maximum demand, whichever is higher.
Commercial and bulk supply tariffs show limited changes in variable rates. However, there is a recommendation to convert fixed charges to a per-kW basis for consistency. In the bulk category, a reduction in 132 kV tariffs has been suggested due to the cost structure at higher voltage levels.
Prepaid tariffs, which have traditionally been higher than standard tariffs, are proposed to be reduced across multiple categories to better align with regular rates.
The proposal also recommends aligning electric vehicle charging tariffs with the base energy rate and gradually shifting from cross-subsidy mechanisms toward more targeted subsidy support programs.
Overall, the February 2026 tariff proposal represents a structural adjustment aimed at improving cost alignment, billing transparency, and long-term sustainability in Pakistan’s power sector.
