Enter your sanctioned load and units, then say whether the connection is registered for sales tax. The calculator works out a commercial (A-2) bill line by line: units at the commercial rate, the fixed charge, FC surcharge, fuel and quarterly adjustments, 18% sales tax, further tax for unregistered connections and the section 235 income tax that every commercial bill carries.
A shop on 3 kW using 400 units comes to about Rs 23,734 with this month's adjustments. The commercial unit price is Rs 37.44 under 5 kW, against Rs 36.46 for a home using 400 units on the unprotected tariff, and a commercial bill also carries section 235 income tax from the first Rs 500.
Commercial unit price in Pakistan (A-2 tariff)
Rates of the uniform tariff for all distribution companies and K-Electric, as notified on 12 February 2026. There are no slabs: every unit is charged at the same rate for your type of connection.
| Connection | Rs per unit | Fixed charge per month |
|---|---|---|
| Under 5 kW | 37.44 | Rs 1,000 per connection |
| 5 kW and above, single-rate meter | 39.76 | Rs 1,250 per kW on 25% of sanctioned load or MDI |
| 5 kW and above, peak | 43.82 | Rs 1,250 per kW on 25% of sanctioned load or MDI |
| 5 kW and above, off-peak | 35.15 | Same fixed charge |
Below 5 kW the fixed charge is a flat amount per connection. From 5 kW it is per kW, billed on a quarter of the sanctioned load or on the month's maximum demand (MDI), whichever is higher. Connections of 5 kW and above normally have a peak and off-peak meter.
Worked example: a shop on 3 kW, 400 units
Before fuel and quarterly adjustments, for a shop registered for sales tax:
| Line | Working | Amount |
|---|---|---|
| Cost of electricity | 400 × Rs 37.44 | Rs 14,976 |
| Fixed charge | Under 5 kW, per connection | Rs 1,000 |
| FC surcharge | 400 × Rs 3.23 | Rs 1,292 |
| Sales tax 18% | On the three lines above | Rs 3,108 |
| Bill before income tax | Rs 20,376 | |
| Income tax, section 235 | Rs 1,950 + 12% of the amount over Rs 20,000 | Rs 1,995.12 |
| Total | Rs 22,371 |
The bill before income tax is just over Rs 20,000, so the second band of the section 235 table applies. Add this month's fuel and quarterly adjustments and the calculator above gives about Rs 23,734.
Worked example: 10 kW with a peak and off-peak meter
A workshop on 10 kW uses 200 peak and 800 off-peak units and is not registered for sales tax. Again before fuel and quarterly adjustments:
- Peak: 200 × Rs 43.82, off-peak: 800 × Rs 35.15. Cost of electricity Rs 36,884.
- Fixed charge: 25% of 10 kW is 2.5 kW, higher than the MDI, so 2.5 × Rs 1,250 = Rs 3,125.
- FC surcharge on 1,000 units: Rs 3,230. Sales tax 18%: Rs 7,783.
- Further tax, 4% of the electricity charges because the connection has no sales tax registration: Rs 1,729.56.
- Income tax on the bill of Rs 52,751.56: Rs 1,950 plus 12% of the amount over Rs 20,000 = Rs 5,880.19.
Total: Rs 58,632. If the MDI had been 4 kW, the fixed charge would be worked on 4 kW instead of 2.5 kW.
Taxes on a commercial electricity bill
- Sales tax at 18% on the cost of electricity, fixed charge, FC surcharge and quarterly adjustment, with a separate line on the fuel adjustment.
- Income tax under section 235. Nothing on a bill up to Rs 500. Above that, 10% of the whole bill up to Rs 20,000, then Rs 1,950 plus 12% of the amount over Rs 20,000. You can claim it against your income tax for the year, so keep the paid bills.
- Further tax at 4% under section 3(1A) of the Sales Tax Act, for connections without a sales tax registration number. Registered businesses do not pay it.
- Other lines. Some commercial bills carry further sales tax lines for unregistered retailers. If yours does, type the amount in "Other taxes on your bill" and the calculator adds it before working out the income tax.
Homes pay none of the commercial items: their section 235 tax applies only to non-filers with a bill of Rs 25,000 or more. Use the electricity bill calculator for a home.
Commercial bills at common loads
Totals with this month's adjustments, for a connection registered for sales tax and one that is not.
| Load | Units | Registered for sales tax | Not registered |
|---|---|---|---|
| 2 kW | 200 units | Rs 12,525 | Rs 12,950 |
| 3 kW | 400 units | Rs 23,734 | Rs 24,554 |
| 4 kW | 800 units | Rs 46,596 | Rs 48,190 |
| 10 kW | 200 peak + 800 off-peak | Rs 60,101 | Rs 62,154 |
| 20 kW | 500 peak + 2,000 off-peak | Rs 148,863 | Rs 153,924 |
With the current fuel and quarterly adjustments (July 2026 fuel adjustment, billed in September 2026; Quarterly adjustment billed September to November 2026), FC surcharge and 18% sales tax.
An independent estimate, not a DISCO or NEPRA service. The rates follow the uniform tariff notified on 12 February 2026 and the FBR rate card for 2026-27. Your bill can differ because of the days in the reading period, arrears or a different MDI. The amount printed on your bill is what you pay.
Commercial electricity questions
What is the commercial unit price in Pakistan?
Rs 37.44 a unit for a commercial connection under 5 kW, under the uniform tariff of 12 February 2026. From 5 kW it is Rs 39.76 on a single-rate meter, or Rs 43.82 peak and Rs 35.15 off-peak. Adjustments and taxes come on top, so the cost per unit on the bill is higher.
Is the commercial tariff the same for LESCO, MEPCO, IESCO and K-Electric?
Yes. The government notifies one uniform consumer tariff for all the distribution companies and K-Electric, so the unit rates and fixed charges are the same. The fuel adjustment and quarterly adjustment are also set by NEPRA for all of them.
How is the fixed charge worked out on a commercial bill?
Under 5 kW it is a flat Rs 1,000 a month for the connection. From 5 kW it is Rs 1,250 per kW, charged on 25% of the sanctioned load or on the month's MDI, whichever is higher. A 10 kW connection with an MDI of 2 kW pays on 2.5 kW.
Why is income tax charged on my shop's electricity bill?
Section 235 of the Income Tax Ordinance requires the company to collect it on every commercial bill above Rs 500: 10% up to Rs 20,000, then Rs 1,950 plus 12% of the rest. It is advance tax, so you can claim it against the income tax on your business when you file your return.
What is further tax on an electricity bill?
A 4% sales tax charged under section 3(1A) of the Sales Tax Act on supplies to people who are not registered for sales tax. A business with a sales tax registration number that is linked to the connection does not pay it. Homes do not pay it.
Last reviewed 2 October 2026. Results are estimates; official notices always take precedence.