By: Musawir Qureshi
Pakistan is currently passing through one of the worst economic crises in its history. On one hand, inflation, unemployment, and poverty have made life extremely difficult for ordinary citizens. On the other hand, the continuous increase in taxes on electricity, gas, fuel, and other basic necessities has almost destroyed the purchasing power of the people.
According to official statistics, the government has collected Rs. 476 billion in taxes through electricity bills alone. This amount includes approximately Rs. 351 billion in sales tax and Rs. 124 billion in income tax. These figures clearly show that an electricity bill is no longer just a payment for electricity consumption; it has become a combination of numerous taxes, surcharges, and additional charges.
Whenever an ordinary citizen looks at an electricity bill, they often find that the amount charged under various headings such as taxes, surcharges, fuel price adjustments, and other levies is greater than the actual cost of electricity. This raises an important question: What justifies imposing such a heavy financial burden on a basic public service?
Even more unfortunate is the fact that people continue to pay these expensive bills while simultaneously suffering from prolonged power outages and low voltage. In other words, they receive neither affordable electricity nor satisfactory service.
A more fundamental issue is that of economic justice. Thousands of government officers, senior officials, and employees of certain public institutions receive free electricity, official vehicles, fuel, housing, and other privileges under various regulations. Meanwhile, daily wage earners, low-income families, and salaried employees are forced to pay electricity bills worth thousands of rupees every month. This is nothing short of injustice. Ideally, the greater financial burden should fall on those with greater means, yet the system appears to work in the opposite direction.
There is no denying that the worst affected are households earning Rs. 30,000 to Rs. 50,000 per month. When such families receive electricity bills ranging from Rs. 10,000 to Rs. 20,000, it becomes increasingly difficult for them to afford their children’s education, healthcare, and even basic food expenses.
Economic experts also emphasize that a fair tax system should require higher-income groups to bear a larger share of the burden, while protecting low-income households. In many countries, governments provide subsidies or special concessions to consumers with basic electricity needs to ensure that poor families are not deprived of essential services.
Pakistan should adopt a similar approach by providing subsidies or even free electricity to low-income consumers using 100 to 200 units per month. At the same time, a transparent and equitable policy should be implemented for heavy electricity users and those enjoying extensive government privileges. The state’s foremost responsibility is to protect the vulnerable, not to place additional financial burdens upon them.
The continuous increase in petrol and diesel prices has further intensified the hardships faced by the public. Higher fuel prices increase transportation costs, agricultural expenses, industrial production costs, and the prices of almost every essential commodity. As a result, inflation accelerates, with the poorest and middle-income groups suffering the most.
Pakistan is blessed with abundant natural resources and enormous potential for hydroelectric power generation. However, the burden of poor governance, circular debt, electricity theft, transmission losses, and weak planning is ultimately shifted onto ordinary citizens. It is a system where the public is forced to pay for the mistakes of others.
The time has come for the government to move beyond its dependence on increasing taxes and instead focus on reducing unnecessary public expenditure, lavish official privileges, and wasteful spending. If austerity begins in government offices, ministries, and state institutions, public confidence in the state will naturally improve.
Must the poor always be the ones to make sacrifices in this country? Does justice not demand that those with greater wealth and privileges shoulder a greater share of the burden, while relief is provided to the weaker sections of society?
If Pakistan truly aspires to become a welfare state, it must establish an economic system based on fairness, where the tax burden is distributed equitably, public money is spent on public welfare, and every citizen feels that the state protects all people equally not just the privileged few.
