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By Malik Shahzad Aslam :
The federal government on Thursday rolled out a countrywide energy conservation initiative titled the Prime Minister’s Fan Replacement Programme, aiming to replace up to 100 million traditional ceiling fans with energy-efficient alternatives. The move is part of a broader reform strategy that also includes plans to restructure financial liabilities within the power sector.
Speaking at the launch event, Federal Minister for Power Awais Leghari said the programme reflects the government’s resolve to introduce long-term reforms, even if they carry political risks. He noted that Prime Minister Shehbaz Sharif and the federal cabinet were fully aligned on pursuing structural changes to stabilize the energy sector.
“We are taking tough decisions because they are necessary. Without reforms, the energy sector cannot become sustainable,” Leghari said, adding that financial reorganization of the power sector is also being actively examined.
The minister highlighted that national electricity demand has dropped to nearly 8,000 megawatts during certain periods, largely due to the rapid shift toward solar energy following high electricity tariffs in recent years. While this transition has helped consumers, he said it has created operational challenges for the grid, as power plants still require year-round maintenance despite reduced usage.
On the issue of net metering, Leghari said the Power Division would engage with the National Electric Power Regulatory Authority (NEPRA) on the prime minister’s instructions, while assuring that current net metering users would continue under existing arrangements.
He further claimed that power tariffs had declined by up to 20 percent over the last 18 to 20 months. According to him, protected consumers had received relief ranging from 35 to 40 percent, while industrial electricity prices had dropped to nearly 11.5 cents per unit.
Under the new scheme, consumers will be able to acquire energy-efficient fans at a subsidised rate, with an estimated cost of around Rs1,000 per fan. Authorities have removed the earlier requirement to return old fans, a step intended to improve participation.
Leghari said widespread adoption of efficient appliances would reduce peak-hour electricity demand, lower carbon emissions, and ease pressure on the national grid.
Minister for Climate Change Musadik Malik described the programme as a major step toward sustainable development, stating that households could save up to Rs12,000 per fan annually. He also linked the initiative to climate resilience, noting that recent floods had inflicted economic losses approaching 10 percent of GDP and displaced millions across the country.
“Energy efficiency is not only about reducing costs — it is about safeguarding our economy and environment from future disasters,” Malik said.
Meanwhile, Managing Director of the National Energy Conservation Authority (NECA) Humayoun Khan said the initiative would significantly cut electricity consumption and improve grid reliability.
Federal Minister for Finance Muhammad Aurangzeb also reaffirmed strong support for the programme, announcing that Rs2 billion had been set aside as a first-loss risk guarantee to encourage commercial banks to finance consumers participating in the scheme.
He revealed that a pilot project carried out in collaboration with the State Bank of Pakistan involved 11 banks, resulting in the installation of 186 fans and financing of Rs1.35 million for 67 borrowers.
Aurangzeb said the government now plans to rapidly expand the programme nationwide so that its benefits can reach households well ahead of the originally envisioned timeline.
Officials believe the fan replacement drive will play a key role in lowering electricity demand, reducing fiscal pressure on the power sector, and advancing Pakistan’s long-term energy and climate sustainability objectives.
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