Govt Discontinues Electricity Subsidy for Farmers Under Kissan Package

The federal government has discontinued the Rs. 3.60/kwh subsidy to private agriculture from March 1, 2023, under the Kissan Package. According to the Ministry of Energy, the Cabinet on February 28, 2023, approved the Power Division summary with regard to the implementation of the Revised circular Debt Management Plan. The Power Division had requested the Cabinet to discontinue the Rs. 3.60/kwh subsidy to private agriculture from March 1, 2023, under the Kissan Package. “Federal Cabinet vide above referred has approved the discontinuation of Kissan Package for Base rate relief of Rs. 3.60/kwh to private agriculture from March 1, 2023,” the letter stated. It is pertinent to mention here that the IMF has asked the government of Pakistan to discontinue subsidies for farmers subsequently, and the government in the revised circular debt management plan gave assurance to withdraw the subsidy. As per the details, the government had approved a Rs. 14 billion subsidy for the agriculture sector under the Kissan package.