ISLAMABAD : Prime Minister, Shehbaz Sharif is likely to make an announcement to reduce electricity tariff by Rs 7.59 per unit for industry, Rs 7. 41 per unit for domestic across the board except lifeline consumers from April 2025 for which IMF nod has been obtained on the promise that it would accelerate country’s growth, sources told Newzshewz.
Dozens of key industrialists, businessmen have been invited the Prime Minister Office to witness the announcement and seek their appreciation on the point that whatever promise Prime Minister made with them has been made possible after massive consultations within the government and International Financial Institutions led by International Monetary Fund, whose representative previously stated that the Fund has only allowed Rs 1 per unit reduction to be compensated through imposition of levy on Captive Power Plants (CPPs) which is now under litigation at the Islamabad High Court(IHC).
Announcing the package Prime Minister said that domestic consumers will get electricity Rs 34 per unit. Arrangements have been made to resolve the issue of circular debt of Rs 2.393 trillion in next five years
According to sources, initially, Prime Minister had directed Power Division’s team to prepared a plan of reduction in electricity tariff by Rs 7 per unit and later on constituted a Committee under the convenership of Deputy Prime Minister/ Foreign Minister , Ishaq Dar who is head of a number of Committees like the past. Later on, the then SAPM on Power Muhammad Ali( now Advisor on Privatisation) and National Coordinator, Lt. General, Muhammad Zafar Iqbal was also made member of the rational reduction Committee.
The Committee held nearly half dozen meetings and went through the figures, savings from IPPs, future projections of prices of LNG and coal at the international level, interest rates and inflation.
Prime Minister, not only talked to Manager Director IMF himself but also directed Finance Minister, Senator Muhammad Aurangzeb to seek formal nod of the IMF before making any public announcement and avoid any embarrassment who shared tariff reduction plan with the Fund , World and etc. who gave their no objection to the proposal after going through the entire working.
The government is expecting that after the announcement of reduction in tariff, Chambers and Associations, through advertisements will appreciate the government for this drastic step.
