Pakistan Budget 2025–26: Massive Electricity Price Hike

The Pakistan Budget 2025–26 has officially been unveiled, introducing major changes that directly impact energy costs for households and businesses. Among the most critical updates is a significant electricity price hike, set to take effect from July 1, 2025. With a sharp increase in per-unit electricity rates, many consumers are now seeking sustainable alternatives, such as solar power, to manage rising expenses.
Electricity prices Changes Under Pakistan Budget 2025–26
🔺 Base electricity tariff will increase by Rs 7.12 per unit, representing a 25% jump.
🔺 NEPRA has added another Rs 0.93/unit across the board as part of fuel adjustments.
✅ Karachi consumers (K-Electric) will see a Rs 2.99/unit reduction, due to regional differences in fuel cost charges.
This hike is part of a broader effort by the government to align energy prices with international standards and fulfill commitments made to the International Monetary Fund (IMF). The goal is to reduce dependency on subsidies, stabilize the power sector, and curb the growing circular debt.

What This Means for Consumers
Electricity prices in Pakistan were already a burden for many. This new increase will hit middle-class and lower-income households the hardest, as monthly bills are expected to rise sharply—especially during the peak summer months.
In the industrial and commercial sectors, this could lead to increased production costs, which may further raise inflation and prices of everyday goods and services.
Solar Energy: A Cost-Saving Alternative in 2025
Why go solar after the Pakistan Budget 2025–26?
- ✅ Solar imports remain tax-free – no GST or import duty added in this budget.
- ✅ Net-metering remains available (with updated rules).
- ✅ Faster payback period as electricity rates rise.
- ✅ Protects you from future grid price fluctuations.
Need Help Choosing the Right Solar System?
We’ve got you covered! Visit our guide to compare the latest solar panel prices in Pakistan, inverter recommendations, and battery solutions.




