Punjab slaps duty on heavy consumers

The Punjab government has decided to slap an electricity duty on heavy consumers using more than 500 KVA, adding to their power woes.

According to Express News, the Punjab Finance (Amendment) Bill 2025 was passed by the provincial assembly without being referred to a committee. Under the new legislation, industrial and commercial consumers using more than 500 KVA of electricity will be subject to the duty.

The bill sets the electricity duty at four paisas per unit. Industrial and commercial users drawing up to 500 KVA capacity will be exempt, while organisations operating generators of more than 500 KVA will be brought into the tax net.

All domestic consumers will be fully exempt from the duty. For industrial and commercial consumers connected to the national grid, the new levy will be collected through the power distribution companies (DISCOs). Private industrial and commercial users generating their own power will pay the duty through the electric inspectors.

Read: Rs0.08 per unit increase to hit electricity bills in October

The proposed law applies exclusively to the commercial and industrial sectors and also amends the Punjab Finance Act 1964. Final approval of the legislation will be granted by the Punjab Governor.

Electricity price hike

The National Electric Power Regulatory Authority, on October 14, approved an increase of Rs0.08 per unit in electricity prices under the monthly fuel cost adjustment for August 2025.

According to a notification issued by NEPRA, the adjustment will apply to consumers across Pakistan, including those served by K-Electric, in line with the government policy guidelines. The regulator stated that the additional charge will be collected on October bills.

The Central Power Purchasing Agency (CPPA) had earlier requested a hike of Rs0.19 per unit for the same month’s adjustment.