Pakistan's electricity base tariff went down in July 2025. NEPRA approved a revised uniform rate of Rs31.59 per unit for FY2025-26 — a reduction of Rs1.14 per unit from the Rs32.73 that applied in the previous fiscal year. On paper, this is good news. In practice, most consumers did not notice meaningful relief on their bills. Understanding why requires looking at what the base tariff actually is, what sits on top of it, and what "uniform" really means in this context.
What Is the Uniform Tariff?
Pakistan has 11 electricity distribution companies — LESCO, MEPCO, FESCO, IESCO, GEPCO, PESCO, HESCO, SEPCO, QESCO, TESCO, and HAZECO — each serving a different region with different infrastructure costs, different levels of line losses, and different operational efficiency. Historically, these differences meant consumers in different parts of the country paid different base rates.
The uniform tariff eliminates that variation. Under this system, NEPRA sets a single base rate that applies to all consumers across all DISCOs — and from July 2025, K-Electric in Karachi as well. What a household in Lahore pays per unit at a given consumption level is the same as what a comparable household in Multan, Rawalpindi, or Faisalabad pays.
The cost differences between DISCOs do not disappear — they are real. They are simply covered by the federal government through an annual Tariff Differential Subsidy (TDS), which for FY2025-26 amounts to approximately Rs250 billion. This subsidy bridges the gap between what efficient DISCOs actually cost to run and what less-efficient ones cost, so that consumers do not bear that variation directly on their bills.
What Changed in FY2025-26
NEPRA approved the revised uniform tariff on July 2, 2025, following a public hearing on July 1. The decision was effective from July 1, 2025.
The revised average base rate: Rs31.59 per unit (kWh), down from Rs32.73 per unit in FY2024-25. The reduction of Rs1.14 per unit was driven primarily by a Rs247 billion decrease in the overall revenue requirement for the year — itself mostly the result of the Power Purchase Price falling by Rs212 billion as generation costs eased.
For different consumer categories, the impact varied:
| Consumer category | Previous rate | New rate | Change |
|---|---|---|---|
| Protected (A-1P), 1–100 units | Rs11.69/unit | Rs10.54/unit | −9.8% |
| Protected (A-1P), 101–200 units | Higher band | Reduced | ~3–4% |
| Unprotected (A-1), all slabs | Various | Reduced | ~3–4%, flat Rs1.15/unit |
| Lifeline (up to 50 units) | Subsidised | Unchanged | No change |
Protected consumers in the lowest consumption band saw the sharpest proportional cut — nearly 10%. For unprotected consumers across all slabs, the reduction was a flat Rs1.15 per unit regardless of which slab they fell into.
Lifeline consumers — those using up to 50 units per month on the deepest subsidy — did not benefit from the revision. Their rates remained unchanged.
K-Electric Included for the First Time
The most structurally significant aspect of the FY2025-26 determination is that K-Electric — which had historically operated under a separate tariff framework — was brought under the same uniform tariff as all WAPDA DISCOs.
For Karachi consumers, this means the same base per-unit rates as the rest of Pakistan, with cost differences between K-Electric's grid and the national system absorbed through the same TDS mechanism that covers inter-DISCO variation across WAPDA. In practical terms, the base tariff comparison between Karachi and Lahore, which used to require consulting two separate documents, now uses the same schedule.
Why Most Consumers Did Not Feel the Reduction
A Rs1.14/unit cut in the base rate is real. For a household consuming 300 units, that is Rs342 less in base energy charges per month. But electricity bills in Pakistan are not just base energy charges — they are a layered structure.
Fuel Price Adjustment moved in the other direction. FPA is a monthly per-unit surcharge that adjusts for actual vs projected generation costs. In the same period that the base rate was reduced, FPA figures remained elevated due to global fuel prices and rupee depreciation. A high-FPA month can add Rs3–8 per unit on top of whatever the base rate is. A Rs1.14/unit base reduction is easily absorbed by a Rs3/unit FPA increase. For a full explanation of how FPA works and what drives it, see What is FPA on Your Electricity Bill.
New fixed monthly charges were introduced. NEPRA approved slab-based fixed monthly charges in February 2026 — a separate per-kW levy that applies regardless of consumption. This is an addition to the bill structure, not a replacement. The new fixed monthly charges can add Rs400–1,100 or more per month depending on sanctioned load, substantially outweighing a Rs1.14/unit base reduction for most households.
GST amplifies both directions. GST at 17% is calculated on energy charges plus FPA. When FPA rises, GST rises with it — on every unit consumed.
The base tariff is one input into a complex bill. Consumers who saw their July 2025 bill and expected it to be noticeably lower may have been disappointed precisely because these other components moved independently.
What the Uniform Tariff Does Not Cover
The uniform base rate applies to energy charges — the per-unit cost of electricity consumed. It does not set or control:
- FPA — determined monthly by NEPRA based on actual generation costs
- GST — fixed federal tax at 17%
- Fixed charges — meter rent, and the new 2026 slab-based fixed charge
- Surcharges — Neelum-Jhelum, financing cost surcharge
- TV licence fee — flat Rs35/month
For a complete breakdown of every component on a Pakistani electricity bill, see Every Charge on Your Electricity Bill Explained.
How NEPRA Sets the Uniform Tariff
The process runs on an annual cycle aligned with the fiscal year (July–June). DISCOs and the government submit their revenue requirements and cost projections. NEPRA holds public hearings, reviews the submissions, and issues a determination setting the base tariff for all consumer categories.
The tariff is also subject to quarterly adjustments — Quarterly Tariff Adjustments (QTAs) — which revise the base rate within the year as actual costs diverge from projections. Monthly FPA sits on top of the base rate as a separate variable layer. The base uniform tariff determination is the foundation, but what a consumer pays in any given month is the base plus FPA plus all fixed and statutory charges.
Updated tariff schedules are published on the NEPRA website after each determination.
Frequently Asked Questions
What is the uniform electricity tariff in Pakistan for FY2025-26?
NEPRA set the average uniform base tariff at Rs31.59 per unit (kWh) for FY2025-26, effective July 1, 2025. This applies to all WAPDA DISCOs and K-Electric. It represents a reduction of Rs1.14 per unit from the previous year's Rs32.73/kWh.
Does the uniform tariff mean everyone in Pakistan pays the same electricity rate?
Yes, at the base level. The uniform tariff means that consumers across all DISCOs pay the same per-unit rate for a given consumption category. Cost differences between individual DISCOs are covered by the federal government's Tariff Differential Subsidy rather than being passed directly to consumers.
Why did my bill not go down when the tariff was reduced in July 2025?
The base tariff reduction of Rs1.14/unit was offset for many consumers by elevated Fuel Price Adjustment figures, new fixed monthly charges introduced in 2026, and GST applied on top of both. The base rate is one input into the total bill — other components moved independently and in some cases significantly upward.
Is K-Electric now on the same tariff as LESCO and MEPCO?
Yes, from FY2025-26. K-Electric was brought under the same uniform tariff schedule as WAPDA DISCOs for the first time. Base per-unit rates for comparable consumption levels are now the same for Karachi consumers as for consumers in Lahore or Islamabad.
Where can I find the current NEPRA tariff schedule?
The current uniform tariff schedule is published on the NEPRA website under the Tariff section. It shows base per-unit rates for each consumer category before FPA and other surcharges are applied.
Does the uniform tariff apply to protected consumers?
Yes. Protected consumers (A-1P — up to 200 units, no AC registered, sanctioned load under 5kW) benefit from the revised rates, with the 1–100 unit band seeing the largest proportional cut at approximately 9.8%. For a full explanation of protected vs unprotected classification, see Protected vs Unprotected Electricity Tariff in Pakistan.
