Overview
- Effective November 2025 through October 2028, base consumption will continue at existing tariffs and only additional units qualify for the Rs22.98 rate.
- Officials contrasted the discounted rate with current tariffs of roughly Rs34 for industry and Rs38 for agriculture, noting the relief targets incremental demand rather than across-the-board cuts.
- IMF conditions limit the program to three years with no rollover, apply a first‑year 25% incremental cap based on collective sector demand, and require semi‑annual reviews and automatic reversion to normal rates if thresholds are missed or exceeded.
- The government plans to channel about 7,000 MW of surplus generation to productive use and says households will not bear the cost, as the lower price on incremental units is achieved by removing capacity charges from those units.
- Power Division estimates suggest the plan could add about 0.5% to annual industrial growth and roughly Rs21 billion in extra tax revenue, with last winter’s incentive cited for delivering around 410 GWh of additional consumption.