Punjab approves new electricity duty for users
Power lines and transmission towers.
Power lines and transmission towers.
LAHORE (Web Desk): The Punjab Assembly has approved the Punjab Finance Bill 2025, introducing a new electricity duty on users.

The new bill passed without being referred to any committee, has stirred attention across business sectors.

Under the new law, a duty of 4 paisa per unit will be charged from industrial and commercial consumers crossing the 500 kVA limit.

However, small users have nothing to worry about. Those using up to 500 kVA will stay exempt. Institutions operating generators above 500 kVA will also come under the new tax net, ensuring broader coverage.

The government clarified that all domestic consumers are fully exempt from the new electricity duties. For businesses connected to the national grid, the collection will be handled by power distribution companies (DISCOs). Users relying on private electricity sources will pay through electric inspectors.

This amendment modifies the Punjab Finance Act 1964 and now awaits the Governor’s final approval.

Officials say the move aims to widen the province’s tax base and bring more fairness to the system by including high-capacity users.

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This decision reflects the government’s focus on boosting revenue without burdening ordinary citizens. By targeting large power consumers, Punjab aims to strengthen its financial base while promoting fair energy use. The change may raise operational costs for industries, but it also signals a step toward sustainable fiscal management.