Energy Saving Tips to Reduce Your Electricity Bills

Recently, the Pakistani government has announced a significant hike in electricity tariffs, making it more crucial than ever for households to adopt energy-saving measures to reduce their electricity bills. The base national electricity tariff will increase by about 25% from July 1, 2024, with an average rise of Rs6.80 per unit, pushing the average sale rate to Rs37 per unit. This increase will heavily impact the country’s two crore 28 lakh domestic electricity consumers, especially those who exceed the 200-unit threshold and move from the protected to the non-protected category. 

Non-protected consumers face much higher rates and lose the benefits of lower unit rates and previous slab advantages. Once consumers exceed 200 units, they must consistently use less than 200 units for six months to return to the protected category. With electricity prices already as high as Rs62 per unit, including taxes and other charges, and expected to rise further due to various adjustments, the financial burden on households is set to increase dramatically. 

With the duration of peak hours (5 pm—11 pm) extended and subsidies withdrawn, even lower-middle-income households are now receiving electricity bills in five figures. Therefore, implementing energy-saving tips is not just a matter of reducing utility bills but a necessary step to managing household expenses in the face of escalating electricity costs.

Reasons for High Electricity Bills in Pakistan

There are several factors contributing to the high electricity bills in Pakistan. It’s crucial to understand these factors to address the issue effectively. Here are some key reasons:

1. US Dollar to Pak Rupee Depreciation

The depreciation of the Pakistani Rupee against the US Dollar has a direct impact on electricity bills. As the currency weakens, the cost of importing fuel and equipment required for electricity generation increases, leading to higher tariffs.

2. Electricity Theft and Non-Payment

Electricity theft and bill non-payment in some localities also contribute to higher electricity bills when the burden of unpaid bills falls on honest consumers, electricity production and distribution costs increase.

3. Independent Power Producers (IPPs)

The issue of Independent Power Producers (IPPs) is another leading factor behind Pakistan’s high electricity prices. Contracts with IPPs often involve high costs, ultimately passed on to consumers.

Understanding these factors helps us realize that while we may not have direct control over electricity rates, we can take steps to mitigate their impact on our bills.

Practical Tips to Reduce Electricity Bills

While we cannot control the tariff rates, we can adopt various strategies to decrease our electricity consumption and ultimately lower our bills. Here are some practical tips that can be quickly implemented:

Optimize Appliance Usage during Peak Hours

It’s important to avoid using energy-intensive appliances during peak hours, which now extend from 5 pm to 11 pm. Reducing our consumption during these high-demand periods contributes to a more balanced load on the electricity grid. Consider avoiding the usage of the following appliances during peak hours:

• Irons
• Air conditioners
• Washing machines

Rescheduling these activities to non-peak hours can reduce your overall energy consumption and lower your electricity bills.

Switch to Energy-Efficient Lighting and Appliances 

Making a shift towards energy-efficient lighting and appliances can have a significant impact on reducing your electricity bills. Consider the following steps:

• Replace regular bulbs and tube lights with energy-efficient LED lights. LED lights consume less electricity and have a longer lifespan, resulting in lower energy costs.
• Opt for an air fryer or microwave oven instead of a conventional oven. These appliances consume less energy, allowing you to save on electricity bills without compromising on convenience.

These measures require minimal investment and are affordable for most households, making them a viable option to reduce electricity consumption. If you are looking for better and long-lasting options, read below:

Use Solar Panels

Solar panels are a long-term investment that can significantly reduce your electricity bills. By using solar energy, you can generate electricity and reduce grid reliance. Although the initial installation cost can be high (ranging from Rs. 100,000 to Rs. 500,000, depending on the system size), the return on investment is substantial. Over time, solar panels can cut your electricity bills by up to 70%, making them a cost-effective solution in the long run.

Use Smart Bulbs

Smart bulbs are another great way to save on electricity bills. They use LED technology, which is more energy-efficient than traditional incandescent bulbs. Additionally, they can be controlled remotely via smartphone apps, allowing you to turn them off when not needed. Smart bulbs are typically affordable, costing around Rs. 1,000 to Rs. 3,000 per bulb, and can reduce lighting energy consumption by up to 80%.

Use an Instant Electric Geyser / Water Heater

Instant electric geysers or water heaters are more efficient than traditional storage water heaters. They heat water only when needed, thus using less energy. The cost of an instant electric geyser ranges from Rs. 8,000 to Rs. 20,000. Switching to an instant geyser can save up to 30% on your water heating energy consumption.

Use Inverter AC

Inverter air conditioners (ACs) are designed to save energy by adjusting the compressor speed based on the cooling demand. They are more efficient than conventional ACs operating at a fixed speed. Although inverter ACs are slightly more expensive upfront (between Rs. 60,000 and Rs. 120,000), they can reduce your AC-related electricity consumption by up to 40%.

Use Inverter Refrigerators

Inverter refrigerators operate on a variable-speed compressor, which adjusts its speed based on the cooling requirement. This leads to significant energy savings compared to conventional refrigerators. Inverter refrigerators can cost between Rs. 40,000 and Rs. 100,000, but they can reduce your refrigerator’s energy consumption by up to 30%, making them a worthwhile investment.

Use Good UPS 

An efficient, Uninterruptible Power Supply (UPS) can be crucial in managing electricity consumption. Modern UPS systems are designed to consume less power and provide better energy management. Investing in a high-efficiency UPS can cost between Rs. 10,000 and Rs. 50,000, but it ensures that your backup power system does not significantly increase your electricity bill.

Online Bill Payment and Regular Monitoring

Taking advantage of online bill payment services and regularly monitoring your electricity consumption can help you stay informed and control your bills. Many utility providers in Pakistan now offer online bill payment options, making paying your bills convenient without incurring additional charges or wasting time in long queues.

Moreover, actively monitoring your electricity usage through online platforms such as CheckMyBill.pk allows you to check and calculate electricity bills from the comfort of your home.

Here is the list of electricity providers that you can check the bill for from the website, all for free:

1. K Electric (Karachi Electric Supply Company)
2. IESCO (Islamabad Electric Supply Company)
3. LESCO (Lahore Electric Supply Company)
4. PESCO (Peshawar Electric Supply Company)
5. QESCO (Quetta Electric Supply Company)
6. FESCO (Faisalabad Electric Supply Company)
7. MEPCO (Multan Electric Supply Company)
8. GEPCO (Gujranwala Electric Supply Company)
9. HESCO (Hyderabad Electric Supply Company)
10. SEPCO (Sukkur Electric Power Company)
11. TESCO (Tribal Electric Supply Company ) 

Conclusion

Although electricity tariffs have increased in Pakistan, it’s not all doom and gloom. You can effectively lower your electricity bills by adopting practical strategies to reduce electricity consumption, such as optimizing appliance usage during peak hours and switching to energy-efficient lighting and appliances. Additionally, taking advantage of online bill payment services and regularly monitoring your consumption lets you stay informed and make well-informed decisions about your energy usage. By implementing these measures, you can mitigate the impact of rising tariffs and take control of your electricity bills.