Govt Assures IMF Of Providing Subsidized Electricity To BISP-Registered Families!
One of the most essential relief package for all the people who have registered their families under Benazir Income Support Program, according to the latest statement drive by the Government, Families who have completed their NSER Survey and are eligible for the Benazir Kafalat Program will get a subsidized and free electricity from the government.
By January 2027, the government plans to introduce a new power subsidy scheme to solve the inefficiencies in the current system.
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Subsidized Electricity For 9.3M Families Of BISP
According to Business Recorder, which cited sources from the Finance Ministry, the federal government has pledged to connect energy subsidies with the Benazir Income Support Fund (BISP), guaranteeing that funds are only given to worthy users.
This change is a component of larger initiatives to align Pakistan’s energy sector regulations with international commitments, such as those made to the International Monetary Fund (IMF), and national climate goals. The government plans to solve the inefficiencies in the current electricity subsidy scheme by implementing a new system by January 2027.
Govt to Replace Tariff Subsidy System
A thorough transition plan has been laid up by the Finance Ministry, beginning with the identification and verification of qualified customers by January 2026. By mid-2026, this will be followed by the implementation of a reimbursement mechanism through financial institutions and the specification of precise eligibility requirements.
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The current tariff difference and cross-subsidy system will be replaced with the new one, which will streamline the tariff structure and use BISP to target qualified customers. Nowadays, subsidies are frequently distributed widely to higher-income households, which promotes excessive consumption, wastes energy, and jeopardizes the stability of the electricity industry.
June 2025: Public Communication Campaign
By June 2025, a campaign to educate the public about the new subsidy structure will be launched.
The government is also seeking to reform its gas subsidy scheme, which has also resulted in inefficiencies and distortions, the paper claims. Decisions are anticipated by June 2026 after a thorough review of the feasibility of introducing a comparable targeting system for gas subsidies as part of the larger reform program.
Who Will Get Subsidized Electricity By Next Year?
By the next year, discounted power will only be provided to families that are enrolled in the Benazir Income Support Program (BISP). In order to ensure that only low-income and deserving households receive the subsidies, the government intends to discontinue the current tariff difference and cross-subsidy system and replace it with targeted relief through BISP.
Govt to Enforce Energy Efficiency Standards for Appliances by 2027
The government is working to increase energy efficiency in addition to reforming subsidies. As part of this, the recently established Minimum Energy Performance Standards (MEPS) for consumer appliances will be enforced. By June 2027, compliance is expected for a variety of devices, including fans, LEDs, refrigerators, air conditioners, and motors.
By December 2025, the Public Procurement Regulatory Authority will also make sure that all government purchases of these appliances adhere to MEPS guidelines.
Conclusion
The government’s plan to link electricity subsidies with BISP aims to ensure that only deserving, low-income families receive relief. By replacing the current inefficient system with a targeted one, and enforcing new energy efficiency standards, Pakistan is taking key steps towards fair energy distribution and sustainable development in line with IMF commitments.
