Power 'relief' package

Another reactive approach is being sought to address Pakistan's energy crisis, but this time, citizens' hands are being forced to consume more electricity under the illusion of relief. The new Bijli Sahulat Package, which promises discounts on incremental usage over the winter months, pressures consumers to increase consumption to benefit from the lower rates. With energy costs already a major burden, many households may feel obligated to use more electricity just to keep their bills somewhat manageable, despite their own financial strains.

This package serves more as a temporary band-aid than a genuine solution to Pakistan's energy woes. The approach of enticing higher usage to stimulate economic growth disregards the structural inefficiencies in the energy sector and does little to address the underlying issue of high base tariffs. Moreover, as the government attempts to meet IMF requirements, which demand reductions in subsidies and more sustainable revenue practices, this package appears to prioritise meeting external pressures over alleviating domestic hardships. The limited nature of the discount - only applying to incremental usage up to 25% over historical benchmarks - also means many consumers may not see a substantial difference in their bills. The brief, three-month window under the package further restricts its potential impact, offering only a fleeting respite. This "relief" measure seems unlikely to stimulate the transformative economic growth the government claims, leaving Pakistan's energy consumers in a cycle of temporary incentives that don't address the root causes of high tariffs.

In pursuing such measures, the government must recognise that genuine, lasting solutions require comprehensive energy reforms. What the country needs is to diversify into renewable energy and address the circular debt crisis, which is driving up costs and discouraging investment. If the government truly seeks sustainable economic growth and relief for its citizens, it must go beyond temporary incentives and tackle the systemic flaws in Pakistan's energy landscape.