Islamabad (Pakistan News): The government has prepared a plan to provide electricity consumers with relief by utilizing funds collected from the Cap-to-Power levy to reduce electricity rates.
According to federal government sources, the levy will be imposed on Cap-to-Power plants in phases to provide relief in the power sector. The first phase will implement a 5% levy, followed by 10% in the second phase, 15% in February 2026, and 20% in August 2026.
Officials stated that the monthly collected levy will be directly adjusted in electricity tariffs, though the relief will reach consumers after a two-month interval. Non-payment of the levy will result in action against Cap-to-Power plants, including suspension of gas or LNG supply for persistent defaulters.
The plan has been developed under IMF conditions and aims to provide relief to consumers across all categories in the power sector.
