The Lahore High Court (LHC) has officially dismissed a series of petitions challenging the government’s decision to scrap the provision of free electricity units for senior officers in the power sector.
In a detailed 14-page judgment released on Friday, Justice Malik Javid Iqbal Wains characterized the government’s move as a “reasoned and rational” policy shift. The ruling effectively upholds a December 2023 notification from the Ministry of Energy that transitioned free electricity perks into a fixed monetary allowance for officers in Grade-17 and above.
The Court’s Findings
The court addressed the primary argument from the petitioners—who represented various engineering and officer associations—that the free units were a vested service right. Justice Wains clarified that:
- Privilege vs. Right: The provision of free electricity was a discretionary service-linked perk rather than a statutory right protected by law.
- Executive Authority: As the benefit was subject to administrative control and not founded on specific statutory rules, the government maintained the legal authority to reconfigure it through policy decisions.
- Remuneration Parameters: The court noted that “monetizing” the benefit (replacing units with a cash allowance) does not unconstitutionally reduce basic pay or violate established service conditions.
Financial and Public Impact
The decision marks a significant shift in a long-standing practice. Previously, officers from BPS-18 to 22 collectively utilized roughly 75 million units of electricity annually, a benefit costing the national exchequer between Rs 4 billion and Rs 4.5 billion each year.
Government Response
Federal Power Minister Awais Leghari welcomed the judicial outcome, describing the abolition of free units as a “historic” reform. Taking to social media, Leghari stated that the move addresses a long-standing public demand for fairness and financial discipline within the energy sector. He emphasized that under the current administration, the government remains focused on structural reforms to improve the country’s collective economic health.
The ruling reinforces the doctrine of the separation of powers, with the court concluding that fiscal and economic policy decisions remain within the domain of the executive branch unless a clear constitutional violation is proven.
