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inp

LHC dismisses petition challenging capacity charges, power tariffs

Published on: June 10, 2026 1:50 AM

The Lahore High Court has dismissed a petition challenging capacity charges and electricity tariffs, declaring it non-maintainable. Justice Ahmad Nadeem Arshad issued a six-page judgment on a petition filed by Ashba Kamran, stating that policy-making in the energy sector falls under the jurisdiction of the government and Parliament, not the judiciary. The court observed that it cannot act as an appellate forum for economic, financial or regulatory policies and that mere disagreement with a policy does not justify filing a constitutional petition. In its detailed ruling, the court stated that it cannot perform the role of a regulator, auditor or economist, and matters related to capacity charges and tariff structures fall within the domain of policymakers. It added that the petitioner failed to establish any violation of fundamental rights. The judgment further noted that judicial intervention in constitutional matters is only justified in cases of unlawful or unconstitutional actions, and under the doctrine of separation of powers, courts must exercise restraint in administrative and governmental affairs. The Lahore High Court also held that ordering the recovery of payments made to Independent Power Producers (IPPs) is beyond judicial jurisdiction, and policy formulation cannot be directed by courts under the guise of public interest litigation. The petitioner had challenged the recovery of capacity charges in electricity bills and sought a complete review of the regulatory framework of the power sector. The court ultimately dismissed the petition as non-maintainable.

Filed Under: Pakistan Tagged With: LHC

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