If you’re amongst two-thirds (68% to be exact) of the population that has access to electricity in Pakistan, then you most certainly receive a... Understanding Your Electricity Bill in Pakistan

If you’re amongst two-thirds (68% to be exact) of the population that has access to electricity in Pakistan, then you most certainly receive a monthly electricity bill. This piece of paper, also commonly known as the WAPDA bill, has been full of surprises over the last year for many consumers who couldn’t make head to toe of the exorbitantly high electricity bills and consumption. It is widely believed that electricity supply companies in Pakistan are laced with incompetence, negligence, and other issues. Unfortunately, it’s the consumer who has had to bear the brunt of the laxity and mismanagement of our electricity supply companies in the form of over-billing and disconnections and late payment surcharges.However, if you’re like most consumers who pay their electricity bills without paying too much heed to the various figures related to electricity consumption and tariffs, then this article has been specially prepared by Loadshedding.pk for you. Please read on.

Understanding-your-bill-main
Here’s a sample IESCO (Islamabad Electric Supply Company) electricity bill. For the purposes of privacy, we’ve masked personal details.Although, our electricity companies are to be blamed for not sending out accurate electricity bills from time to time, consumers also need to be more aware and conscious of any discrepancies in their WAPDA bills. Most of us are interested in the payable amount as per the electricity bill and the due date to avoid any penalty without paying attention to how the bill has been calculated and whether the consumption represents a realistic picture of our electricity usage. Let’s delve deeper into the typical electricity bill that most Pakistanis receive and demystify some of the important items and figures that are contained in this piece of paper.

IESCO Sample Bill

Let’s break down different sections of the WAPDA bill according to:

  1. Electricity Consumption
  2. Cost of electricity
  3. Taxes
  4. Other costs
    • FPA (Fuel Price Adjustment)
    • PTV (Pakistan Television) fees
    • Arrears if any
    • ED (Electricity Duty Levied by Provincial Government)

Electricity Consumption

Electricity consumption is measured in terms of the number of units of electricity that your household has expended in a billing period which is usually one month. For more information on unit calculation please refer to our article Kilowatt-hour (kWh) and Electric Bills. Your electricity meter outside your house provides a reading for the number of units consumed at any given point in time. Usually the reading states the total consumption from the date of installation of the meter. In Pakistan meter reading is a manual process carried out by various meter readers that are designated for different areas of cities. The meter reading date is usually listed at the top of the electricity bill as highlighted in the image below. Along with the meter reading date are the current billing month, issue date and due date. Please note that the electronic version of the bill or WAPDA online bill is usually available a few days before the printed version is delivered to houses.   Meter Reading Dates Useful Tip: Since meter reading is a manual activity in Pakistan, it is prone to discrepancies and human errors. It is recommended that the electricity consumption listed on the bill is verified by checking the meter yourself around the usual meter reading date for your house to ensure that there are no inconsistencies. If you notice that there is a significant difference between the actual and reported readings, notify your sub division officer (SDO) at the local electric supply office immediately. The contact information for your SDO is also listed on your electricity bill. Additionally, if you notice a spike in your unit consumption or cost of electricity, compare it with your consumption in the previous year in the same months. This information is available in the billing history columns your electricity bill. Billing history and SDO To calculate the monthly unit consumption of a household, a meter reader subtracts the current month’s reading with the previous month’s reading. The current month and previous month’s units are present in all the WAPDA bills supplied in Pakistan. These are highlighted in the image below. In the sample LESCO bill below, the total units consumed for the month of November 2014 are 84 (18,312 – 18,228). Electricity Units Consumed

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Cost of Electricity

Cost of electricity is what you pay to your electricity supply company such as IESCO, SEPCO, HESCO, LESCO, K-Electric etc. Calculating the cost of electricity is a little tricky because a variable tariff structure is in place instead of a flat per unit cost. So the tariffs will be different if consumption is under 50 units compared with if your consumption is between 50 and 100 units and so forth. Essentially, NEPRA (National Electric Power Regulatory Authority) has created different tariff slabs, which are determined by the unit consumption for a particular household. Simply put, the more units you consume, the cost of electricity per unit will go up. The breakdown of this calculation is listed on your electricity bill. Please refer to our sample IESCO bill.

Slab calculation IESCO billSlab Calculation LESCO BillIn essence, the higher the unit consumption for a particular household, a higher tariff slab will be applied for calculating the bill. Another factor that impacts the cost per unit of electricity is the time of the day. The newer digital electric meters that have been installed in most parts of the country are capable of recording electricity usage during peak and off peak timings. Usage during peak hours is charged at a higher rate compared with usage during off-peak hours. The table below lists peak and off-peak hours during various months.

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Season/Months Peak Timings(4 hours/day) Off-Peak Time
December to February 5 PM to 9 PM Remaining 20 hours
March to May 6 PM to 10 PM Remaining 20 hours
June to August 7 PM to 11 PM Remaining 20 hours
September to November 6 PM to 10 PM Remaining 20 hours

As evident, there is a 4-hour peak time window everyday during which electricity charges are much higher compared to off-peak hours, which constitute the remaining 20 hours of the day. However, an interesting point to note here is that peak usage tariffs only apply to households where the sanctioned load is more than 5kW. This essentially means that where the meter has registered a maximum load of 5kW or more resulting from high electricity consumption from appliances such as multiple air conditioners, there are no slabs based on the number of units consumed. Rather calculation is only based on peak usage and off peak usage. In most cases off peak usage is billed at PKR 12.5 per unit whereas peak usage is billed at PKR 18 per unit. The key takeaway here is that if your average electricity load is high, your price per unit will be high across the board irrespective of the number of units you consume. For instance if you run more then two 1.5 ton air conditioners along with other appliances simultaneously, your peak load will be registered higher than 5kW by the meter prompting your electricity supply company to change your tariff slab. However, if your average electricity load is less than 5kW, then your price per unit will be proportional to the number of units you consume. Peak and off-peak tariffs will not be applicable in such instances. Here’s a table that describes this. This table has been picked up from IESCO’s website.

# Tariff category and Details Variable charges Rs. / kWh
a) For Sanctioned load up to 5 kW    
i Up to 50 Units 2.00
For Consumption exceeding 50 Units
ii 1- 100 Units 5.79
iii 101- 200 Units 8.11
iv 201- 300 Units 12.09
v 301- 700 Units 13.00
vi Above 700 Units 15.00
b) For Sanctioned load exceeding 5 kW
Peak Off-Peak
Time Of Use 15.00 13.00

The following two bills explain these scenarios where the LESCO sample bill has a connected/sanctioned load of 1 kW and the IESCO sample bill has a connected/sanctioned load of 8kW. Note how the tariffs are different for both the bills based on their connected load. Connected load

Government Charges

Government charges are the additional costs that the government sources from consumers in the form of taxes and surcharges. Details of these are listed below.

General Sales Tax (GST)

General Sales Tax (GST) is levied on the total cost of electricity. GST is usually 17% to 18% depending on the province or federal territory. In the sample LESCO bill below, the GST amounts to PKR 88, which is 18% of the total cost of electricity that is PKR 486.36.

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Other Charges

There are various other minor costs and charges that are added to your monthly electricity bill.

  • PTV charges of PKR 35 are standard across all electricity bills in Pakistan
  • TR-SUR is called Tariff Rationalization Surcharge and has recently started appearing on LESCO electricity bills. It is applied  @ Rs. 2.67/unit when total consumption is 300 units or above. This is a way to minimize circular debt and harmonize variances in tariffs across Pakistan. This notice was issued by the Ministry of Water and Power on the direction of the Federal Government on 10th June 2015. Please note that our readers have pointed out that this is currently only being charged to LESCO customers.
  • FC-SUR (Financing Cost Surcharge) is applied on all units consumed @ Rs. 0.43/unit. This surcharge has also been observed in LESCO bills as of now.
  • ED or Electricity Duty is usually levied by provincial governments and is not applied on IESCO bills. An ED of 1.5% has been applied to the cost of electricity (PKR 486.36), which comes to around PKR 7.30 in the sample LESCO bill below.
  • Arrears are usually unpaid bills from previous months, which are accrued overtime and show up in the current month’s electricity bills. On the rare occasion, negative arrears can also show up in your electricity bills owing to adjustments or compensations due to overbilling by your electricity supply company. This has particularly been observed in the months of October and November 2014 when many consumers reported adjustments/compensations of thousands of rupees in their bills.
  • NJS Eq Sur or N.J. Sur refers to Neelum Jhelum Surcharge, which is almost 1% of the cost of electricity for the current month. This is the government’s strategy to raise finances for constructing the Neelum Jhelum Hydropower Project.
  • A small Meter Rent fee is also added to the bill.
  • FPA (Fuel Price Adjustment) account for the fluctuations in the prices of crude oil, furnace oil and other fuels that are used in power plants to generate electricity. No one knows how this figure is calculated and the government has faced severe criticism from the public at large as well as the Supreme Court on these FPAs. For instance, IESCO customers received a net (Rs. 1.8613/kWh) fuel price adjustment in the billing month of August in lieu of April. Most consumers may have noticed this amount subtracted from their bill.

Government Charges


  • Amir Anees

    Hi,

    This article was very fine written, thank you for sharing this important information. However, it will be grateful to you if you can mention the references also.

    Thanks

    • admin

      Thank you Amir sb for your valuable feedback and appreciating the article. We will include references for our articles!

  • ahmad

    excellent,,
    excellent demonstration..

    • admin

      Thank you Ahmad! We’re glad you found it useful! Please share it if you liked the article.

      • Daniyal

        This article is very useful… please can you explain calculation of industrial bill also.. from taking meter reading to calculating bill with all taxes… it will be of great help. daniyalkhilji@yahoo.com my email id…

        • admin

          Hi Daniyal,

          Thank you for your appreciation. You can check out NEPRA’s website for up to date commercial tariffs for your respective electricity supply company and calculate your bill. The breakdown is given on your electricity bill.

          Cheers,

  • Abdul Basit

    awesome written, doing well May Allah Lead You To Success

  • Zarin Gul

    good informations. The DISCOs are also overcharging Govt Dept through differnt means which is also required to be high lighted for general information and remedial measure be intimated.
    Thanks

  • Amir Anees

    Hi Admin,

    I must say it is a well-written and well-defined article, thanks for sharing with us. However, I have a question regarding the charges if the load is above than 5 KW. It is mentioned as fixed for peak times and off-peak times despite the amount of power consumption, i.e 1-50 units, 101-200 units and so on. I mean do the charges (for above 5 KW) remains the same irrespective of how much you consume power??

    Waiting for your answer.

    Amir

  • Shahid

    Great Explanation.. if some one has such calculation regarding commercial bills please share

    • admin

      Dear Shahid,

      Thanks for reading. We will add a section for commercial in this article soon.

  • khurram

    Great Explanation.
    I have a question that if load is registered as “Sanctioned Load Exceeding 5kw” then is it possible to change it to “Sanctioned load up to 5kw”?.
    Actually i m shifted in a home on rent whose sanctioned load is registered as 8kw but my consumption is well with in 5kw.

    Ur guide in this regard will highly be appreciated.

    khurram

    • admin

      Dear Khurram,

      You will have to send in an application to your SDO Sub Divisional Officer regarding this matter. Usually they step up the load after increased load but don’t reduce it. You will probably have to supply them with electricity bills of your recent months to substantiate your claims.

      Good luck!

  • fizza

    Good Job (y) Thanks for sharing 🙂

    • admin

      Glad you found the information useful!

  • Saifullah

    Great Job Admin.
    It will be great if you can compare per unit cost of different DESCOs here. Similarly is this pattern is applicable on K-Electric as well?

  • Mrs. Farhat Jamil

    In the electricity bill for June, an amount of Rs. 3654.70 has been charged under TR-Sur, which is a new surcharge. What does this abbreviation stand for.
    .

    • admin

      TR-SUR is called Tariff Rationalization Surcharge. This is a way to minimize circular debt and harmonize variances in tariffs across Pakistan. This notice was issued by the Ministry of Water and Power on the direction of the Federal Government on 10th June 2015. Essentially this is another way to squeeze the public 🙁

  • irshad wali lone

    whats tr surcharge ?

    • admin

      TR-SUR is called Tariff Rationalization Surcharge. This is a way to minimize circular debt and harmonize variances in tariffs across Pakistan. This notice was issued by the Ministry of Water and Power on the direction of the Federal Government on 10th June 2015. Essentially this is another way to squeeze the public 🙁

      • Sarmad Butt

        and its is Rs 3 per unit for consumption of unity more than 700 or if load is more than 5kw

  • atif zubair

    Good info’s , Please also define F.C Surcharge that is applied along with T.R Surcharge

    • Shafqat

      What is f.c Surcharge & T.R Surcharge

  • taha

    What is FC surcharge in lesco bill july 2015

  • Naeem Haider

    F.C Surcharge ? Financing Cost Surcharge

  • In the electricity bill for July 2015, an amount of Rs. 219.73 has been charged under FC-Sur, which is a new surcharge. What does this abbreviation stand for.

  • Dr. ihsan

    There is decrease in tarrif/ electricity cost per unit..as per recent notification by fderal govt
    http://www.nepra.org.pk/Tariff/Notifications/NOTIFICATIONS%20OF%20DISCOs%20(SRO.%20566%20to%20575).PDF

  • Omer

    The explanation for peak and of peak rates is a bit confusing. I am a LESCO subscriber and the rates applied are simply time of day rates. Perhaps this fine print needs to be stated more clearly. Btw, Have you guys seen the new user friendly and funky LESCO bills?

  • Abdul Manan

    TR-Sur (Tariff Rationalization Surcharge) = on Above 300 units – @ 2.67/unit
    FC-Sur(Financing Cost Surcharge) — on all units — @ 0.43/unit
    NJ-Sur(Nelam Jahlum Surcharge) — on all units — @ 0.10/unit
    Source is below
    http://www.nepra.org.pk/157538E7-AF66-468B-A7F8-1681E47C6934/FinalDownload/DownloadId-EBA4EC01C7A8B79DA34DA09C2CFCFF61/157538E7-AF66-468B-A7F8-1681E47C6934/Tariff/Notifications/NOTIFICATIONS%20OF%20DISCOs%20(SRO.%20566%20to%20575).PDF

    • admin

      Thank you very much for sharing this Abdul Manan sb. The article needs to be updated with the supplied information

      • Abdul Manan

        Please note that this TR-Sur mentioned is according to LESCO. It differs wrt to your electric company.

    • Ashfaq

      TR and FC surcharges are uncalled for.. Government can not ask consumers to pay for its inefficiency ie line losses and theft etc. It is a jugga tax by government.

  • Khurram

    Thank you for sharing this highly useful information. I wanted to add my 2-cents, I just received NADRA bill for month of July and LESCO is charging Rs.. 3,00 / unit for TR-Surcharge. rs. 0,10 / unit for NJ Surcharge and Rs. 0.43 / unit for Financial Costing (FC Surcharge).

  • Momina

    can you plz tell me how much a unit costs??

    • admin

      Depends on the time of the day and how many units you consume. As per NEPRA’s latest tariff structure: If you consume between 1 and 50 units per month it is Rs. 4 per unit. If your monthly electricity consumption is 100 or less units it is Rs. 9 per unit. If it is between 101 and 300 it is Rs. 11 per unit. If consumption is between 301 to 700 units it is Rs. 13 per unit. Above 700 units it is Rs. 15 per unit. Hope this answers your question.

  • Khalid Mirza

    PLz Kam Se Kam Bill Baeja Karain Awam Pr Kuch Tu Raham Karai

    • admin

      We don’t issue bills. We are customers just like you and only provide information. Your distribution company is responsible for billing.

  • AAMIR

    TR-Sur (Tariff Rationalization Surcharge) FOR OFFPEAK UNITS @ 3.10
    . FOR PEAK UNITES @ 3.00

  • Hanan

    Thanx Buddy for this informative article …

    • admin

      You’re welcome Hanan. Glad you found it useful!

  • Adnan

    Hello, i found this article much informational, i am doing a researching on Power crises in Pakistan, and i need the electricity teriff of las five years , please guide how can i get the data.

    Regrds,
    Adnan Ahmed

    • admin

      Please refer to NEPRA’s website.

      • Asif

        Ty lot for this most important information.It helped me understand why the hax my electricity bils are more than previous . How ever i think the unit cost for 101-300 which is rs 9 /= is too much . Can u guide a way to revolt against this too much high per unit electric bills.

  • عمیر

    السلام و علیکم۔
    بہت ہی مفید اور عمدہ طریقے سے لکھی گئی تحریر ہے اور صارفین کو بل کے بارے میں کافی معلومات مہیا کرتی ہے ۔ اصولی طور پر یہ کام تو بجلی کے تقسیم کار اداروں کو کرنا چاہیئے لیکن وہ کبھی ایسا نہیں کریں گے ، آخر کو ان کی کمائی اس ے وابستہ ہے ۔
    کمرشل بجلی کے بلوں پر ایک “یو او سرچارج” اور “ای کیو سرچارج” بھی لکھا نظر آتا ہے ، اس کے متلعق بھی کچھ معلومات مہیا فرمائیں۔
    شکریہ

  • adnan92.mail@gmail.com

    What is late Payment Surcharge Rate????

  • samina amjad

    very useful info .. thank you

    • admin

      You’re welcome. Glad you found the information useful!

  • Sattar Saadi

    Thank you admin for this useful and helpful article to understand Electiricty Bill calculations.

  • maha

    I need to know what is Load on the iesco bill

  • Omer

    Dear Please also define FC-SUR

    • admin

      FC-SUR (Financing Cost Surcharge) is applied on all units consumed @ Rs. 0.43/unit. This surcharge has also been observed in LESCO bills as of now.

  • Dr Ali

    Nice article
    But where is the withholding tax/ any other tax adjustable in our income tax?

  • Ali

    How we can check off peak reading and peak reading on new digital meters (Lesco).
    Please also guide how total reading can be checked.

  • Abdul Rahim Butt

    Thank you for your detailed information, and sharing this with the public.
    Are the items nearly the same, or what are the differences that apply for KESC / K-Electric bills+ tariffs+ other charges ?

  • In this article a charge name as a PTV charge mention…..plz explain it?

    • yoyokhan

      Its for ptv channel who nobody watches

  • fakhar shah

    What is SS 0 unit on electricity bill?

  • fakhar shah

    Please help?

  • Sunny

    Please tell me about FPA ? in detail because every time this amount not detect from electricity bill.

  • ZAKRIA ALI

    Please send me the procedure to find the cost of electricity? step wise..

  • Bilal
  • RM

    The IESCO total, and the Govt Total don’t add up to make the “current bill” amount. Why?
    Why the discrepancy?

  • Mohsin Fatmi

    what are the slab wise rates of K Electric

  • Rehan Afzal

    Awesome – Still holds good after such a long time. I am not sure if the Peak hours are still valid btw. Unfortunately, there is no other source to confirm the peak hours, even the WAPDA / IESCO / NEPRA guys dont have a clue ! Alas !