Karachi and other parts of the country will be able to choose their own electricity suppliers starting January 2026 as part of the government’s plan to open up a competitive power market, as per the report on Wednesday.
The National Assembly’s Standing Committee on Power, led by MNA Muhammad Idrees, met to review the “Multi-Vendor Electricity Distribution Bill, 2025,” introduced by MNA Shahida Rehmani. However, the committee decided to postpone further discussion on the bill until February 2026 to allow more time for evaluation.
During the meeting, Shahida Rehmani highlighted Karachi’s persistent electricity problems, blaming inefficiency and growing financial losses under K-Electric’s management.
Power Division Secretary Dr Fakhr Alam Irfan informed the committee that from January 2026, consumers in Karachi and across Pakistan will have the freedom to buy electricity from any power company they prefer.
He added that about 200 megawatts (MW) of electricity will be offered for bulk purchase in the first phase. Initially, open-market access will be available to consumers using up to one megawatt of power, and later it will expand to other categories.
Officials briefed the committee that Pakistan’s off-grid and net-metered solar generation has increased to 18,000 MW, creating new challenges for grid stability as the government works to integrate renewable energy into the national system.
Dr Fakhr Alam explained that grid electricity and net-metered power cannot be directly compared because grid power includes additional costs of Rs14 for capacity and Rs9 for taxes, while net-metered electricity remains cheaper.
He added that net-metering capacity has now reached 6,000 MW, while off-grid solar systems are estimated at 12,000 MW, based on satellite data. Officials cautioned that the rapid growth of these systems could affect the stability of the national grid if not carefully managed.