Pakistan has decided to significantly tighten electricity subsidies under conditions linked to the International Monetary Fund (IMF), limiting relief to low-income households registered under the Benazir Income Support Programme (BISP), officials from the Ministry of Finance said on Friday.
According to the ministry, subsidised electricity will now be restricted to consumers using up to 200 units per month, and even within this category, only those verified through BISP will remain eligible for government support. The move is part of a broader shift toward a targeted subsidy system aimed at reducing fiscal pressure.
Authorities stated that consumers will be required to register through a QR code-based system, after which their data will be verified through the National Database and Registration Authority (NADRA) to determine eligibility.
Officials further confirmed that from 1 January 2027, Pakistan will fully transition to a nationwide targeted subsidy framework, replacing the existing broad-based support system. The government argues that subsidies on electricity, gas, and wheat should be reserved exclusively for low-income households, while high-consumption users and multiple-meter owners will be excluded from any relief
