The Government of Pakistan is introducing a big change in the way energy subsidies (electricity and gas) are given. Now, only poor and deserving people will get these subsidies. These people must be registered with the Benazir Income Support Program (BISP). This plan is supported by the IMF and the World Bank.
The goal is to save public money and ensure that only those who truly need help receive it. The government will stop giving energy discounts to rich people who don’t need support. This system will start working from January 2027, and the verification of deserving people will be done by December 2025.
Why Is the Subsidy Plan Changing?
In the past, all people—rich or poor—received energy subsidies. This was unfair because rich people could use more electricity and still enjoy discounts. Poor families, who use less, didn’t benefit as much. Also, it created big losses in the energy sector.
Now, the government is targeting only low-income families. These families are already part of BISP. This step will bring justice, fairness, and better use of public money.
How to Qualify for Energy Subsidy
To get the new electricity or gas subsidy:
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You must be registered in the BISP program.
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Your PMT score (poverty score) must be below 32%.
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You should complete the NSER survey at the BISP office. Visit Official Website
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If you are already receiving BISP or Punjab government support, you may qualify.
Key Point | Detail |
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Start Date | January 2027 |
BISP Verification Deadline | December 2025 |
TDS (Old Subsidy) Ends | In Fiscal Year 2027 |
Gas Subsidy Plan | Study to complete by June 2026 |
What More Is Being Planned?
The government also plans to save energy and improve efficiency. They will:
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Apply energy-saving standards (MEPS) on fans, bulbs, fridges, ACs, and motors.
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From December 2025, government offices will only buy MEPS-compliant products.
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The National Energy Efficiency and Conservation Authority (NEECA) will check the progress and give updates every 3 months.
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By June 2027, MEPS rules will be applied fully in public and private sectors.
Timeline and Implementation Steps
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May 2025: Final review by Power Minister.
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June 2025: Full plan sent to Prime Minister and Cabinet for approval.
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December 2025: Verification of all BISP electricity consumers will be completed.
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January 2027: New subsidy system starts.
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June 2026: Gas subsidy reform study will be completed.
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FY 2027: Tariff Differential Subsidy (TDS) ends.
Social Benefits of This Plan
This new plan will help poor people get electricity and gas at lower prices. It also:
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Saves public money
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Builds trust in social help programs like BISP
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Encourages people to use electricity wisely
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Supports long-term economic growth and fairness
Important Points to Remember
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Subsidy only for BISP-verified families
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Your poverty score must be under 32%
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TDS subsidy ends in 2027
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Gas subsidies will also be changed soon
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Government to follow energy-saving rules (MEPS)
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Reform backed by IMF and World Bank
Conclusion
The energy reform is a big and smart step by the Government of Pakistan. It ends the unfair system where rich and poor got equal benefits. Now, only truly poor and deserving people, verified through BISP, will get subsidies. It also helps in reducing energy waste by introducing efficiency standards. This plan saves money, helps the poor, protects the environment, and brings trust to government welfare programs.
FAQs
Who will get electricity and gas subsidies now?
Only poor families registered and verified under the BISP program.
When will the new subsidy system begin?
The new system will start in January 2027.
How can I qualify for the subsidy?
Complete the NSER survey and make sure your poverty score is below 32%.
Will gas subsidies also change?
Yes, a new plan for gas subsidies is being studied and will be ready by June 2026.