The power generation division was established in 1996 as Ellahi Electric Limited. Subsequently, Ellahi Electric Limited was merged into Nagina Cotton Mills Limited, Ellcot Spinning Mills Limited, and Prosperity Weaving Mills Limited. Ellahi Electric Limited was formed as Nagina Group’s response to the challenge of meeting the power shortage of the country and also to ensure uninterrupted power supply to the group companies. The power generation division operates three separate plants attached to the textile companies of the group. 

The installed capacity of the power generation division is 36.50 Megawatts. The electricity produced is used by the group companies and sold to the Lahore Electric Supply Company (LESCO).