Pakistan Power package drives 12% growth in electricity consumption: 2,164 GWh Consumed in Just 3 Months with total Rs.20 Billion benefit.
The government’s surplus power package has significantly boosted industrial electricity consumption, with demand rising sharply in early 2026 as businesses shift toward cost-effective grid power, according to an official statement. The initiative, launched in December 2025, aims to optimize surplus generation capacity while supporting economic recovery.
Industry leads surge in electricity usage
Under the package, industrial and agricultural consumers have increased their reliance on grid electricity, reducing dependence on expensive self-generation methods. Officials say the shift reflects growing confidence in the affordability and reliability of the national power system.
Data from the Power Division shows that industrial categories accounted for the largest share of consumption under the scheme. B1 industries led with 27%, followed by B4 at 25%, B2 at 24%, and B3 at 22%, while the agriculture sector recorded a 21% share.
The most notable gains were recorded in early 2026, with electricity consumption growing by 12% year-on-year in January and 11% in February. Authorities described this increase as a clear indicator of the package’s success in stimulating demand and supporting industrial activity.
Officials said the initiative was designed to utilize idle generation capacity, which had previously placed financial strain on the power sector. By encouraging higher consumption, the government aims to improve efficiency and reduce the burden of capacity payments.
The package also provides financial relief to consumers by offering competitive tariffs, making grid electricity more attractive compared to alternative energy sources. This has helped industries lower operational costs and improve productivity.
Analysts view the rising electricity demand as a positive signal for broader economic recovery, particularly in the manufacturing sector. Increased industrial activity is expected to support exports, employment, and overall economic growth in the coming months.
The government has emphasized that the policy is part of a wider strategy to stabilize the energy sector while ensuring sustainable growth. Officials say further measures may be introduced to maintain momentum and expand the benefits of the package.
The development highlights a shift toward more efficient utilization of Pakistan’s energy resources, as policymakers focus on balancing supply, demand, and affordability in the power sector.