The Federal Board of Revenue (FBR) collected Rs490 billion in taxes through electricity bills in FY2024–25, marking a sharp decline of Rs110 billion compared to Rs600 billion collected in the previous fiscal year. This drop reflects changing energy consumption trends and slower economic activity.
According to official sources, the decrease in tax revenue is largely due to reduced industrial power usage and the growing adoption of rooftop solar systems. The Economic Survey 2024–25 reported that electricity consumption from July to March stood at 80,111 GWh, down 3.6% from 83,109 GWh during the same period in FY2023–24.
The household sector now dominates national power consumption, accounting for 49.6% or 39,728 GWh, up from 47.3% the previous year. This increase is attributed to population growth, higher use of electrical appliances, and consistent seasonal demand, despite overall energy-saving measures and high tariffs.
In contrast, industrial electricity usage saw a major dip, falling from 28,830 GWh to just 21,082 GWh. This decline signals reduced manufacturing activity and weak economic growth, both of which are impacting tax collections tied to energy consumption.
Despite the drop in energy-based tax revenue, FBR collected Rs552 billion from salaried individuals in FY2024–25, up by Rs185 billion from the previous year. Revenue from real estate transactions also rose to Rs235 billion under Sections 236C and 236K, showing improved compliance and documentation in these sectors.
Senior FBR officials confirmed total direct tax collection reached Rs5.8 trillion, with the corporate sector contributing Rs3.8 trillion. The banking sector alone paid up to Rs1.5 trillion, taxed at a rate of around 55%. Officials said stronger enforcement will be key to meeting the ambitious Rs14.131 trillion revenue target for FY2025–26.