Prime Minister Shehbaz Sharif announced on Friday that electricity tariffs for the industrial sector have been cut by Rs4.04 per unit, wheeling charges lowered by Rs9 per unit, and the Export Financing Scheme rate for exporters reduced from 7.5% to 4.5%. Speaking at a ceremony in Islamabad honoring Pakistan’s top businessmen and exporters, the Prime Minister said, “If it were up to me, I would have reduced it by another Rs10, but my hands are tied.” The event was attended by Deputy Prime Minister Mohammad Ishaq Dar, federal ministers, entrepreneurs, and other business leaders. Awards were presented to top exporters and business figures for their performance in 2024 and 2025. He emphasised that the measures aim to support Pakistan’s export sector and industrial growth, with the reduced Export Financing Scheme rate providing a substantial boost to businesses. The announcement follows news that electricity consumers could face an additional 48 paisa per unit under the Fuel Cost Adjustment (FCA) for December 2025. Read: Power tariff may rise by 48 paisa/unit Data from the Central Power Purchasing Agency (CPPA) shows electricity consumption rose 22%, driven mainly by the industrial and agricultural sectors. Industrial use increased from 2 billion units in December 2024 to 2.4 billion units in December 2025. At a NEPRA hearing yesterday, industrial representatives criticised the proposed increase, saying electricity prices are already high and further adjustments would hurt competitiveness. One said, “Instead of reducing power prices, a hidden increase is being imposed. Industry cannot survive under the current tariff structure.” Power sector officials said the FCA may rise in the short term, but quarterly adjustments are expected to fall, offering some relief in coming months. They added that hydel power generation declines in winter, increasing reliance on costly fuels, but improves in summer, helping reduce the FCA.
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