Government Ends Free Electricity Units for Power Sector Employees After Court Ruling

Government Ends Free Electricity Units for Power Sector Employees After Court Ruling

Pakistan’s federal government has formally ended the long-standing provision of free electricity units for power sector employees, following a court-backed decision, Power Minister Awais Leghari announced on Friday.

In a post on X, Leghari described the move as a historic reform in the country’s energy sector, saying it marked the first time such a benefit had been abolished through a legal process.

Court approves Power Division petition

According to the minister, the decision came after the Power Division filed a petition that was accepted by the court, clearing the way for the withdrawal of free electricity units previously granted to power sector officials.

Leghari said the reform was implemented under the leadership of Prime Minister Shehbaz Sharif, calling it a major step toward fairness at a time when ordinary consumers are struggling with rising electricity costs.

Public demand fulfilled, says minister

The power minister noted that ending free electricity for employees had been one of the oldest public demands, particularly as households and businesses continue to face high power tariffs and prolonged load shedding.

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He said the government considered it an obligation to address long-standing inequalities within the energy system and described the decision as part of broader structural reforms aimed at restoring public trust.

Background of the legal dispute

The announcement followed a significant ruling by the Lahore High Court, which examined the legality of withdrawing free electricity benefits provided to WAPDA and other power sector employees.

Earlier, the court had observed that such benefits formed part of employment conditions and could not be withdrawn unilaterally. However, the latest ruling accepted the government’s request, allowing the facility to be discontinued through proper legal channels.

Focus on transparency and financial discipline

Leghari said the government remains committed to pursuing reforms focused on transparency, financial discipline, and consumer relief, adding that further steps would be taken to reduce inefficiencies in the power sector.

Energy analysts say the decision could help reduce circular debt and signal a shift toward more equitable cost-sharing within the electricity system, though its full financial impact will become clearer in the coming months.

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