Electricity Prices, Policy Restrictions Threaten 500,000 Jobs in Multan
MULTAN: Multan’s powerloom sector is facing an unprecedented crisis as soaring electricity tariffs force thousands of units to close, putting hundreds of thousands of jobs at risk.
Industry insiders report that over 20,000 powerlooms have shut down in the past two years, threatening the livelihoods of more than 500,000 workers who rely on the city’s 100,000 to 150,000 operational units.
Experts warn that electricity costs in Pakistan are now nearly double those in regional competitors such as India, Bangladesh, and Vietnam, eroding export competitiveness. The resulting loss of orders has reportedly contributed to export setbacks worth $4–5 billion, while small industrialists struggle with operational challenges.
Although electricity tariffs were partially reduced in late 2025 by over Rs9 per unit to Rs39.64, industry representatives consider the relief insufficient.
They argue that broader policy restrictions continue to hinder the sector’s revival. The All Pakistan Powerlooms Association (APPMA) has raised the alarm, warning of possible protests if restrictive electricity policies remain unchanged.
Addressing an APPMA meeting, central president Abdul Khaliq Qandil Ansari criticised measures including the suspension of electricity connections up to B1 (8 kW), closure of net-metering connections, limitations on load enhancement, and refusal to increase transformer loads under the B2 category.
Ansari highlighted that even minor sanctioned load increases now result in disproportionately high electricity bills, discouraging small-scale industrial investment.
“The current electricity framework threatens investments worth several billion rupees and undermines the backbone of Multan’s textile exports,” he said. Ansari urged authorities to reconsider restrictive policies and provide a sustainable roadmap for the revival of the sector.
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