ISLAMABAD: The National Energy Efficiency and Conservation Authority (NEECA) Board, scheduled to meet today (Tuesday) is set to approve crucial technical, financial, and human resource components of the Prime Minister’s Nationwide On-Bill Energy Efficient Fan Replacement Program (PM-FRP), a flagship energy-saving initiative aimed at reducing power consumption and greenhouse gas emissions through the replacement of conventional fans with energy-efficient models.
According to official documents, the NEECA Board has been requested to grant approval for three key items:
- Technical and HR components of the program;
- Revised budget for FY 2025–26, and;
- Post-facto approval of funds utilized in FY 2024–25 for the development of the National Online Portal and the two-year Service Level Agreement (SLA) with the Punjab Information Technology Board (PITB) under a government-to-government (G2G) arrangement.
Rs 500 Million Proposed for FY 2025–26 Implementation
For FY 2025–26, NEECA has proposed a Rs 500 million budget for the implementation of the PM-FRP, which includes allocations for human resources, administrative costs, awareness campaigns, monitoring, and contingencies.
Documents reveal that the Finance and Risk Management Committee (F&RM) and the Human Resource and Recruitment Committee (HR&R) have reviewed and rationalized the proposed costs in multiple rounds of meetings held between September and October 2025. Through this exercise, a cost reduction of Rs 6.6 million was achieved, with Rs 123.2 million now parked under contingencies.
The revised budget proposes Rs 52.35 million for human resource expenditures, Rs 93.45 million for administrative expenses, Rs 231 million for awareness and monitoring activities, and Rs 123.2 million for contingencies.
The awareness and media campaign is one of the program’s largest components, covering TV and radio spots, print and social media outreach, digital engagement, and community-level awareness drives to promote public participation in energy-efficient appliance adoption.
Human Resource Structure Rationalized
As part of the restructuring, the HR&R Committee endorsed the hiring of 13 specialists against 12 contractual positions to manage digital systems, financial oversight, stakeholder coordination, and public engagement under the PM-FRP.
Positions include a Program Manager, technical and mobile app consultants, media and outreach specialists, finance and loan risk officers, and data analysts, with remuneration ranging from Rs 150,000 to Rs 500,000 per month.
The committees emphasized that the lean team structure is designed to maintain efficiency, ensure transparency, and enable long-term program scalability without burdening public finances.
ECC and Cabinet Already Ratified Program Framework
The Economic Coordination Committee (ECC) had earlier approved the PM-FRP’s term sheet developed jointly by the Power Division, NEECA, State Bank of Pakistan, and commercial banks, which was later ratified by the Federal Cabinet.
The ongoing approvals by the NEECA Board now focus on operationalizing and institutionalizing the program’s next phase, particularly in view of its digital payment model and on-bill financing mechanism that allows consumers to purchase efficient fans in monthly installments through their electricity bills.
The Board will also consider post-facto approval of Rs 106 million already utilized in FY 2024–25 — including Rs 92.7 million for the Service Level Agreement with PITB and Rs 13.3 million for the development and hosting of the National Online Portal, which serves as the central digital platform for all transactions and data monitoring.
Policy Significance
Officials said the upcoming Board approval marks a key milestone in ensuring the program’s smooth implementation and fiscal accountability. The PM-FRP, which aims to replace 88 million inefficient fans across Pakistan, is expected to save up to 5,000 megawatts of electricity during peak demand and reduce annual carbon emissions by over 1.6 million tons of CO₂.
