One of the greatest woes of every citizen of Pakistan at the time is the rising price of electricity. Every month, they are graced with a bill greater than the previous month, despite the same amount of usage.
This happens when people are unaware of the current electric unit price in Pakistan. As the unit prices keep increasing, the bills also skyrocket despite the fact that the consumption amount is literally the same.
The article below will help you understand the recent prices in detail. Therefore, you will be able to predict the upcoming bill and be prepared for it as well as cut down on consumption through the tips shared below.
The price of electric units in Pakistan comes under two categories, domestic and industrial. The prices of domestic connections are higher per unit as compared to industrial connections. Both charts are shared below.
Price Chart of Domestic Connections
|Serial Number||Number of Units||Price per 1 Unit|
|1.||Less than 50||7.87PKR|
|2.||1 to 100||22 PKR|
|3.||101 to 200||32 PKR|
|4.||201 to 300||37 PKR|
|5.||301 to 700||43 to 52 PKR|
|6.||More than 700||65 PKR|
Price Chart of Industrial Connections
|Serial Number||Load Type||Price per Unit|
|1.||Lower than 5kW||38.80 PKR|
|2.||Higher than 5kW||40.26 PKR|
Factors Affecting The Price of Electric Unit in Pakistan
High Fuel Costs
The first main cause behind the hike in the price of electric units in the country is the fuel cost. Electricity production requires fuels such as oil and gas.
Most of the fuel used in the production of electricity in the country is imported from other countries. Therefore, when the countries with the resources sell them at a higher cost, it has a direct effect on the price per electric unit in the country.
The continuous currency fluctuations are another leading cause behind the hike in electric units price in the country. When the currency takes a dip, and its price goes low in the international market as compared to the dollar, then there is a hike in the cost per electric unit.
The policies that the government of Pakistan imposes are another great factor that affects the price of electricity in Pakistan. The taxes added by the government along with the regulation charges increase the price of electric units. Therefore, this results in a hike in electricity bill amounts.
This seems unlikely, but the weather conditions and seasons also have an impact on the prices of electricity in the country. In summer, there is a high load on the electric grid due to the excessive use of air conditioning.
So, this results in a shortage of electricity. In return, the prices per electric unit skyrocket in the entire country. On the other hand, extreme weather conditions such as droughts are another leading cause behind the increase in prices.
They affect the production of electricity in the country. Therefore, when the production is lower than the demand and need, there is a significant increase in the prices.
Effects of High Prices
Affects the Way of Living
The first effect of an increase in electric unit price on the citizens is on their way of living. The lower middle and middle class gets hit by this the most.
When there is a hike in the prices of electricity units, they try to reduce their electricity consumption to lower the bills. Therefore, even in summer, they can no longer turn on the air conditioning for longer durations.
Higher Cost of Living
A higher cost of living is another effect that the people of Pakistan have to go through. This means that even with the same or lower consumption as the previous year, their electricity bills are higher in amount.
This puts their families in financial crises. A lower-middle house that makes 60K on average needs to pay nearly a quarter of its monthly earning on electricity bills. Their cost of living increases despite the low consumption of electricity.
Impact on Businesses
A hike in electricity prices has a bad effect on businesses, especially small businesses that are already struggling due to economic crises. These businesses have a lower profit margin for their products.
So, when there is a hike in electricity prices, their profit margins shrink even more. This results in many businesses reducing their investments or even shutting down completely due to a lack of investments.
How To Lower Electricity Bills
There are a few tips that can help a citizen of Pakistan in lowering their electricity bills. The first tip is to make sure that the appliances are unplugged when they are not in use.
Everything from a TV, and blender, to computers needs to be watched to make sure they are not operating unnecessarily. In addition to that, citizens need to switch to appliances that are energy-efficient.
There are many air conditioning units in the market that are energy efficient. They consume fewer electric units as compared to traditional air conditioning units.
Similarly, LED bulbs operate on much lower energy as compared to light bulbs. Shifting to solar energy is another great way to reduce electricity consumption; hence lowering the bills.
Why electricity is costly in Pakistan?
The reason why electricity is so costly in the country is the hike in fuel costs imported from other countries. Moreover, the government policies also increase the price of electricity in the country.
How many kWh is a unit?
One unit of electricity is equal to 1kWh. One kilowatt is 1000 watts; therefore, one unit of electricity will run a 1000 watts appliance for approximately one hour.
What is the electricity 1 unit price in Pakistan?
The price of one unit depends upon the slabs of units consumed in the month. A rough price range for 1 unit of electricity is between 2 PKR to 25 PKR.