The Karachi Metropolitan Corporation (KMC) has introduced a municipal tax on K-Electric (KE) bills, according to a private news channel. The Municipal Utility Charges and Taxes (MUCT) will vary depending on the electricity consumed by KE customers.
Domestic consumers will face the following charges:
- Rs. 20 for 101 to 200 units
- Rs. 40 for 201 to 300 units
- Rs. 100 for 301 to 400 units
- Rs. 125 for 401 to 500 units
- Rs. 150 for 501 to 600 units
- Rs. 175 for 601 to 700 units
- Rs. 300 for usage exceeding 700 units.
Commercial and industrial consumers will be billed a uniform rate of Rs. 400. Mayor of Karachi Barrister Murtaza Wahab, explained that the funds collected from this municipal tax will be used to support development initiatives across the city.
Under the agreement between KMV and KE, the power utility will keep 7.5 percent of the collected funds, with 50 percent allocated to cover its debts to the KMC.
Earlier, a KMC official claimed that the use of these funds will be fully transparent, with monthly updates available on KMC’s website. He added that this approach will provide the KMC with greater financial flexibility and benefit the city’s municipal administration at the union council level.
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