Understanding IESCO Tariff

What "Tariff" Actually Means

Your IESCO bill isn’t priced randomly – every rate you pay is approved by NEPRA (Pakistan’s electricity regulator) and officially notified by the government. IESCO cannot charge anything outside this approved schedule. If a rate on your bill ever looks off, you have the right to ask IESCO for the current official tariff schedule free of cost, either at any office or on request.

Tariff Categories at a Glance

  • A1 – Residential (homes)
  • A2 – Commercial (shops, offices)
  • A3 – General Services
  • B1/B2 – Industrial
  • Seasonal and non-seasonal industrial, and agricultural tube well categories also exist with their own rules.

Can You Change Your Tariff Category?

Yes – if your connection type doesn’t match how you’re actually using it (e.g., a home now also running a small business), you can apply to switch categories: A1<->A2<->A3, commercial-to-industrial (B1/B2), seasonal-to-non-seasonal, and tube well-to-industrial.

How to apply:

  • Submit your request at least 30 days before you need the change.
  • Clear any outstanding dues first – no pending balance is allowed.
  • Pay/adjust your security deposit at current rates.
  • Sign a new supply contract (Annex II).

IESCO must process and decide within 30 days of receiving your complete application.

What Happens If You Misuse a Tariff

Using a connection for something other than what it was approved for (e.g., running a commercial operation on a residential tariff) can lead to a 7-day notice, an immediate tariff correction, and a backdated charge – but IESCO can only bill you for the difference going back a maximum of two billing cycles without documented proof, or six months in clearer misuse cases like exceeding your sanctioned industrial load.

If IESCO Charged You the Wrong Tariff

This one matters: if IESCO mistakenly applied a lower tariff than it should have, you don’t owe the difference – that’s on them. If they applied a higher tariff than correct, you’re entitled to a credit/adjustment for up to six months back from when the error was reported. Worth checking your bill history if something’s ever felt high.

Bottom line: Your tariff category should match how you actually use your connection. If it doesn’t, you can request a change – and if IESCO ever bills you at the wrong rate, the law protects you either way.

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