Business community concerned over Iran power import tariff

LAHORE: Pakistan’s business community has expressed serious concerns over the newly-approved electricity import tariff from Iran, warning that the move could raise industrial power costs to more than Rs44 per unit after adding transmission losses, surcharges, and distribution charges.

The National Electric Power Regulatory Authority (NEPRA) recently approved a tariff of 12.40 US cents per kilowatt-hour for the import of 204 megawatts of electricity from Iran’s state-owned TAVANIR for the Makran region of Balochistan. At the current exchange rate, the tariff translates to nearly Rs35 per unit at the base level before domestic charges are applied.

Federation of Pakistan Chambers of Commerce and Industry’s Businessmen Panel (BMP) Chairman Mian Anjum Nisar said Pakistan could not achieve export-led growth while industries continued to pay some of the highest electricity prices in South Asia. He pointed out that competing regional economies offer industrial electricity at significantly lower rates, with China charging Rs20–28 per unit, Bangladesh Rs18–25, and Vietnam Rs16–22 per unit.

The BMP also reiterated its demand for restructuring Pakistan’s energy sector, citing annual Independent Power Producers (IPP) payments of Rs3.4 trillion and the worsening circular debt crisis.

Industry leaders argued that rising electricity tariffs were suppressing industrial demand, creating a cycle that further increases per-unit fixed costs for consumers.

Copyright Business Recorder, 2026