The federal government has announced a significant change in its benefits' policy as it ends the longstanding practice of providing free electricity units to employees of distribution companies (DISCOs), generation companies (GENCOs), and the Water and Power Development Authority (WAPDA).
A formal notification issued by the Power Division on Tuesday stated that the federal cabinet approved monetization of free electricity units previously enjoyed by these employees.
This applies to all active employees in Grade-17 and above, who will now be responsible for paying their electricity bills issued by their respective DISCOs.
Instead of free units, the government will now compensate these employees with a monthly allowance based on their previously allocated unit entitlement. This move aims to streamline the system and ensure fair compensation.
The breakdown of monthly allowances is as follows:
- Grade-17: Employees who were previously entitled to 450 free units per month will now receive an allowance of Rs15,858.
- GENCOs Grade-17: Those who enjoyed 650 free units will be compensated with Rs24,570.
- DISCOs & WAPDA Grade-18: Employees entitled to 600 units will receive Rs21,996, while those with 700 units will be paid Rs26,460.
- Grade-19: Staff entitled to 880 units will now receive Rs37,594, and those with 1,000 units will be compensated with Rs42,720.
- Grade-20 & 21: Employees entitled to 1,100 units and 1,300 units respectively will receive monthly allowances of Rs46,992 and Rs55,536.
This significant policy shift marks a move away from the previous system of free electricity units and introduces a more standardized and transparent system of compensation through monthly allowances.
