• In a move to revive industrial activity and reduce inflationary pressures, the Prime Minister announced a power tariff cut of PkR7.41/7.59 per kWh for domestic and industrial consumers, respectively.
• The announcement, backed by IMF consensus and funded through partial cross-subsidy mechanisms, is anticipated to drive down costs April’25 onwards.
• Notably, with grid tariffs anticipated to decline to ~PkR28/kwh (excluding GST), we expect a significant shift by industrial captive users towards the national grid.

 Courtesy – AKD  Research