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A signal line driving circuit with power control for selectively reducing internal power dissipation when driving an external load. While driving the external load with a constant current the output voltage generated across such load is monitored. If the load impedance decreases sufficiently to cause the output voltage to fall below a predetermined threshold value and, therefore, cause the voltage across the signal line driving circuit to increase, the magnitude of the power supply voltage is automatically reduced, thereby reducing the voltage across the signal line driving circuit. Such a signal line driving circuit is particularly advantageous as a subscriber line interface circuit (SLIC). As the subscriber goes from an on-hook condition to an off-hook condition and if the subscriber loop is sufficiently short (or low in impedance), a lower power supply voltage is used to minimize the power dissipation of the SLIC while still …