June 25, 2026
A Rs1.99-per-unit quarterly cut offers households a brief reprieve, but Fund-mandated tariff hikes and a Rs830 billion subsidy cap loom over the FY2026-27 budget.
March 4, 2025
ISLAMABAD: Federal Minister for Power Sardar Awais Leghari attended a detailed session with Power Sector International Development Partners on power sector reforms and their future direction. The development partners were led by World Bank Country Director Mr. Najy Benhassine, included representatives from the IMF, ADB, IFC, KFW, German Embassy, FCOD, UNDP, and AIIB. The federal Minister Awais Leghari briefed participants on the reforms implemented by the power division to improve efficiency and discipline. The minister highlighted efforts to make electricity prices more competitive and affordable, particularly for industries. He assured that all negotiations with Independent Power Producers (IPPs) are conducted
January 15, 2025
The Federal Cabinet has approved revised agreements with fourteen Independent Power Producers. The Cabinet, which met in Islamabad with Prime Minister Shehbaz Sharif in the chair, approved a proposal to reduce the profit and cost of these IPPs by 802 billion rupees A deduction of 35 billion rupees will be made from the additional profits of these IPPs over the past years. Under the revised agreements with IPPs, the government will benefit by 1.4 trillion rupees. Speaking on the occasion, the Prime Minister said the revised agreements with IPPs will not only save the national exchequer, and eliminate circular debt
LAHORE: The debate surrounding Pakistan’s rising electricity tariffs and the role of Independent Power Producers (IPPs) has sparked widespread public frustration in recent months. Businessmen, policymakers and politicians point the finger, often blaming the current chaos in the electricity sector on capacity payments, which IPPs receive even when they are not generating electricity. However, energy stakeholders argue that the situation is much more complex. They believe that many factors – including complex economic mechanisms, political decisions, global economic forces and above all, the volatile nature of the Pakistani rupee against the US dollar – are leading to rising electricity bills.
Editor — Hamza Azhar Salam · Write to us with suggestions or tips
October 26, 2026
The Pakistan Daily
October 26, 2026
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