Policy

The Cross Subsidy Program: Are You Eligible for a Protected Tariff?

If your household consistently uses under 200 units a month, you may be paying more than you need to. Here's how PITC's Cross Subsidy Program works.

On this page
  1. What protected status actually means
  2. What it is worth
  3. Staying under the line
  4. Questions

What protected status actually means

Pakistan's domestic electricity tariff is cross-subsidised: households consuming little are billed on a substantially cheaper table, and the shortfall is recovered from higher-consuming households and other consumer categories. The cheaper table is what is meant by protected consumer status.

The rule is consumption-based rather than income-based. There is no means test, no form, and no eligibility interview. If your consumption stays at or under 200 units in a billing month, the protected rates apply to that month automatically.

It is assessed monthly, and it is all-or-nothing

Protected status is not a permanent classification you hold. It is re-assessed every billing cycle, and crossing 200 units in a single month moves that entire month onto the unprotected table — including the first 200 units, not merely the excess.

What it is worth

The cost of crossing the threshold
Monthly unitsEstimated totalEffective per unit
190Rs 2,738Rs 14.41
200Rs 2,890Rs 14.45
205Rs 6,337Rs 30.91
220Rs 6,917Rs 31.44

FPA excluded so the slab effect is visible on its own. Compare the 200 and 205 rows: five extra units, but the whole month re-priced.

This is why the threshold matters so much more than its size suggests. For a household hovering around 200 units, a modest reduction is worth several times what the same reduction would be worth to a household at 500 units.

Staying under the line

  • Know your own number. Check units on recent bills rather than rupees — you cannot manage a threshold you are not tracking.
  • Watch the shoulder months. April–May and September–October are when households drift over as cooling starts or lingers, often without noticing.
  • Cooling is the whole game at this consumption level. A single air conditioner running regularly will take a household past 200 units on its own.
  • Check reading dates. A billing cycle that runs long accumulates more units in one bill, which can push an otherwise protected household over. This is worth querying if a bill looks unusually high.

Estimated readings can cost you protected status

An estimate that runs high can push a genuinely low-consumption household over 200 units and re-price the whole month. If a bill is marked estimated and crosses the threshold, that is worth disputing with a photograph of the meter.

Questions

Do I need to apply or register?

No. Protected status follows consumption automatically and is assessed each billing cycle. Anyone offering to register you for it in exchange for a fee is not offering a real service.

I use under 200 units but am billed unprotected — why?

Check the units figure on the bill and whether the reading was estimated. If actual consumption is genuinely under 200 and the protected rates were not applied, that is a billing error worth raising with your sub-division office.

Does it reset if I go over once?

Yes. It is assessed month by month, so a single month above 200 units does not disqualify you afterwards. The following month is judged on its own.

Does FPA apply to protected consumers?

Protected consumers have historically been shielded from FPA in most determinations, but whether it applies in a given month depends on that month's determination rather than being permanent. Check whether an FPA line appears on your bill at all.

Is this the same as a subsidy I have to qualify for?

No. There is no means test. It is a consumption-based tariff structure, not a welfare programme with an application process.

cross subsidyprotected tariffPITC

Check your bill now

Related guides

All guides