NEPRA cuts power rates for industries, agriculture

Concessional Rs22.98 per unit tariff to boost production, stimulate growth

ISLAMABAD:

The National Electric Power Regulatory Authority (Nepra) has approved concessional tariffs on additional power consumption for the industrial and agricultural sectors.

A Power Division spokesperson said that industrial and agricultural consumers would be charged at Rs22.98 per unit on excess electricity consumption.

"This is a revolutionary step of the government to promote industrial and agricultural development in the country," the spokesperson said.

The government has introduced significant reductions in electricity charges for the industrial and agricultural sectors — two pillars of the national economy — to ease the cost of doing business and support the economic growth.

Under the new tariff structure, the price of additional electricity units for the agriculture sector has been reduced from Rs38 to Rs22.98 per unit, while the industrial sector's rate has been brought down from Rs34 to Rs22.98 per unit. This major relief measure will lower the average cost of purchased electricity for consumers in both sectors," the spokesperson said.

With the revised rates, the agricultural consumers using an additional 100 units will see a reduction of approximately Rs7 per unit in their average electricity cost. Similarly, the industrial consumers using an additional 1,000 units will experience a decrease of nearly Rs5 per unit.

The Power Division said that government has already implemented several tariff reductions for industries, and this further decrease is expected to encourage higher production and stimulate economic activity.

The government expresses confidence that the initiative would contribute towards economic revitalization and provide relief to key productive sectors of the country.

"Nepra's decision has been received by the federal government," the Power Division said, adding that domestic and commercial consumers will not be affected by the industrial package.

The industrial package will promote industrial and agricultural activities in the country, says Energy Minister Owais Leghari, adding that the package will promote productive activities and provide additional employment opportunities.

The industrial sector will be able to plan better for the future with the three-year package, Leghari said, adding that greenfield industries, including data centers and crypto mining operations, will also benefit.

"The package will be implemented after notification is issued in this regard," the Power Division said.