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Senate Finance Committee Raises Strong Objections to Fixed Charges on Electricity Bills

Islamabad: A meeting of the Senate Standing Committee on Finance witnessed strong criticism over fixed charges imposed on electricity bills, with members calling for their removal and questioning the burden on low-income consumers.

The meeting was chaired by Senator Saleem Mandviwalla, where members expressed concern over the increasing financial pressure on electricity users due to fixed monthly charges, regardless of actual consumption.

Senator Kamil Ali Agha strongly opposed the current billing structure, stating that fixed charges have become a serious burden for the public. He gave an example from his own residential units, saying that while the bill for electricity consumption was around Rs. 6,200, the fixed charges alone amounted to approximately Rs. 6,800, making the total cost disproportionately high.

He further remarked that recent discussions had led to the conclusion that even individuals earning Rs. 8,500 per month cannot necessarily be classified as poor, highlighting what he described as unrealistic assumptions in policy discussions.

Responding to the criticism, Chairman Saleem Mandviwalla suggested that if the charges were unbearable, consumers could consider disconnecting their electricity connections altogether. His remark sparked further debate within the committee.

Senator Kamil Ali Agha argued that consumers using as little as 100 units of electricity were still being charged as if they had consumed up to 400 units, calling the system unjust and demanding that the committee recommend the complete abolition of fixed charges.

He urged the committee to formally declare fixed charges as unfair and to recommend their immediate withdrawal in order to provide relief to the public.

The committee chairman responded that the Power Division would be summoned after the budget session to review the issue and seek explanations regarding the billing structure and its impact on consumers.

The meeting concluded with members agreeing that the matter of electricity tariffs and fixed charges would be revisited in detail in the upcoming sessions, particularly in consultation with the Power Division.

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