ISLAMABAD: The Ministry of Energy’s Power Division has issued an important statement regarding the government’s decision to implement daily loadshedding due to a fuel crisis and rising electricity costs.
According to a spokesperson, continuous measures taken by the Power Division have resulted in an average price reduction of 71 paisa per unit across all slabs from July to February, providing a total relief of Rs. 46 billion to the public. This reduction was attributed to systemic reforms, relief packages, strict merit order implementation, and modernised system operations. By prioritising low-cost energy sources and improving transmission efficiency, the government has stabilised production capacity despite difficult international conditions.
Currently, the primary challenge facing the energy sector is the surge in demand during peak hours from 5:00 PM to 1:00 AM, exacerbated by a significant decrease in hydropower production. To avoid a massive price spike that would result from relying on expensive imported fuels, the government has decided to implement a strategic power shutdown of approximately 2.25 hours daily during this peak window. This measure, being personally monitored by the Prime Minister, is specifically designed to prevent an estimated price increase of Rs. 3 per unit. While some increase of approximately Rs. 1.5 per unit remains possible due to limited furnace oil usage, officials noted that without these preemptive steps, prices could have surged by as much as Rs. 5 to Rs. 6 per unit.
To mitigate the impact, the government has successfully diverted local gas to power plants, increasing output and preventing additional load management. The Power Division clarified that these scheduled interruptions are not traditional load shedding but are a deliberate “Peak Relief Strategy” to ensure financial sustainability. Power distribution companies (DISCOs) have been instructed to share specific feeder-level schedules with consumers to ensure transparency, with the caveat that only local faults should cause disruptions outside of these times. Furthermore, the federal government indicated that if provincial authorities ensure the timely closure of commercial markets, electricity demand could be further reduced, leading to even greater price stability for the general public.
