People move from underdeveloped areas to the developed areas such as cities and towns which results in urbanization. This leads to the use of land for commercial purposes, provision of social and economic opportunities, transport and residential buildings. These activities led to the discovery of microclimatic changes due to human interventions Therefore, Cities experiences warmer temperature as compare to their surroundings forming a heat trap over cities which is known as Urban Heat Island. Rawalpindi city is fourth major city of Pakistan with an estimated population of 3.19 million. This piece of work emphasizes on the attributes of urban heat island (UHI) in Rawalpindi city, Pakistan. The study uses data of monthly air temperature from three different weather observatories which are located in Rawalpindi and its surrounding areas. One in urban site, second in sub urban site and third in reference rural site. The air temperature data from 2001-2015 is used to study the intensity of urban heat island in Rawalpindi city .The outcome demonstrate the presence of urban heat island in Rawalpindi city, when the urban station is compare to rural station but it shows negative urban heat island effect when urban area is compared to sub urban area. The mean yearly air temperature in Rawalpindi city is 0.47°C higher than rural area i.e. NARC and 0.78°C lower than sub urban area i.e. Dhamial from 20012015. . The annual total urban CDD value is up to 21.08 percent higher than the rural CDD value and 30.56 percent lower than sub urban value in fifteen years. The role of higher temperature in variation of residential electrical consumption is analyzed by using Cooling Degree Days (CDD) as quantitative index. Panel regression analysis is used to predict the effect of temperature alteration on residential electrical consumption. The residential electrical consumption is 16.6 times higher in sub urban area and 183 times in reference rural area as compare to urban area. Supervisor:- Dr. Muhammad Irfan