PM Shehbaz Orders Power Tariff Stability Plan Amid Energy Reforms

PM Shehbaz Orders Power Tariff Stability Plan Amid Energy Reforms
Prime Minister Shehbaz Sharif has directed authorities to prepare a strategy to stabilise electricity tariffs and reform Pakistan’s power sector.
Editorial Team

Key points

  • Prime Minister Shehbaz Sharif has directed authorities to prepare a strategy to stabilise electricity tariffs and reform Pakistan’s power sector.
  • The plan focuses on consumer relief, reduced line losses, renewable energy promotion, digital billing facilities and strict action against electricity theft.
By Editorial Team|Published 02-May-26|3 min read

Prime Minister Shehbaz Sharif on Saturday directed federal authorities to prepare a comprehensive strategy aimed at stabilising electricity tariffs, as the government seeks to ease pressure on households and support industrial activity. The instructions were issued during a high-level meeting on energy-sector reforms in Lahore.

The meeting focused on Pakistan’s continuing power-sector challenges, including tariff volatility, transmission weaknesses, line losses and the need to improve consumer services. Officials were told that both domestic and industrial electricity users must be given practical relief through reforms that are financially workable and administratively sustainable.

Shehbaz called for major improvements in the power transmission system, saying line losses must be brought down through better infrastructure and modern management tools. The issue remains one of the most serious weaknesses in Pakistan’s electricity network, as technical losses and leakages increase costs that are eventually reflected in consumer bills.

The prime minister also ordered the continued use of strict measures against electricity theft, describing uninterrupted energy supply as essential for industrial growth. He said reforms in the power sector must be shaped while keeping the broader interests of the public and industry at the centre of policy decisions.

A key part of the discussion was the promotion of renewable energy projects to help address Pakistan’s energy shortfall and reduce dependence on costly imported fuels. Shehbaz emphasised the need to use advanced technology in the energy sector, including systems that can improve efficiency, billing, monitoring and service delivery.

Officials were also directed to expand digital facilities for electricity consumers, especially to make bill payments easier and more accessible. The move reflects the government’s wider push to modernise public services and reduce friction for consumers who face delays, complicated billing processes and inconsistent support from power distribution systems.

The latest directives come at a time when Pakistan’s energy economy remains under pressure from fuel costs, circular debt, weak recoveries and ageing infrastructure. Successive governments have struggled to balance affordable electricity with the financial health of power companies, while consumers continue to face the impact of tariff adjustments and system inefficiencies.

The meeting was attended by several senior members of the federal cabinet, including Deputy Prime Minister and Foreign Minister Ishaq Dar, Finance Minister Muhammad Aurangzeb, Economic Affairs Minister Ahad Khan Cheema, Information Minister Attaullah Tarar, Power Minister Sardar Awais Ahmed Khan Leghari, Petroleum Minister Ali Pervaiz Malik and other officials.

For Pakistan’s economy, the tariff-stability plan could carry major consequences. Lower uncertainty in power pricing can help industries plan production, protect export competitiveness and reduce inflationary pressure on ordinary families, but implementation will require disciplined coordination between ministries, regulators, distribution companies and provincial administrations.

The next phase will depend on how quickly the government converts the prime minister’s instructions into a detailed reform roadmap. Consumers and businesses will be watching for concrete steps on line-loss reduction, theft control, renewable power expansion and tariff management, as energy affordability remains one of the country’s most sensitive economic issues.

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