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WLA asks Power Minister to intervene amid NEPRA’s resistance to industrial tariff enforcement

by AMG
May 19, 2025
in industry
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WLA asks Power Minister to intervene amid NEPRA’s resistance to industrial tariff enforcement
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ISLAMABAD : The Warehousing & Logistics Association (WLA) has sought Power Minister’s support to ” convince” to approve industrial tariff for the warehouses instead of commercial as per the decisions of the Cabinet and subsequent notification of concerned Ministries.  

In a letter to Power Minister, Sardar Awais Leghari, Founder Chairman, WLA Haroon Farooki, has stated that that the Prime Minister had announced to award “industry ” status to the Warehousing (Cold Rooms, Cold Storages & Temperature Controlled Units) on  May 30, 2024. Subsequently, the Economic Coordination Committee (ECC) of the Federal Cabinet has also approved and declared “Industrial” status to Modern Warehousing & Logistics in its meeting held on August 15, 2024 followed by ratification by the Federal Cabinet.

In pursuance of the decision of the ECC of January 06, 2025 and Federal Cabinet ratification of January 21, 2025, the Government of Pakistan through its Ministry of Industries & Production (MOI7P) has notified February 6, 2025 and declared the “Warehousing” sector as an “Industry” with immediate effect, and addressed to all concerned Ministries/Authorities including Power Division and WLA  that Ministry of Industries and Production on the request of Warehousing & Logistics Association has also clarified vide its Clarification March 28 2025 that the definition of “Warehousing” declared as an “Industry” under the MOIP’s notification includes cold rooms, cold storages and temperature-controlled units highlighting that these components are inherent in warehousing operations and are considered integral to the broader warehousing ecosystem.  

 WLA further stated that the Special Investment Facilitation Council (SIFC) has been facilitating and supporting the efforts of Warehousing & Logistics Association in grant of “Industry” status to “Warehousing” recognizing its importance and significance in terms of support to the “National Food Security” and “Export Enhancement”.

The SIFC’s Apex Committee convened a meeting on  December 3, 202 inviting all relevant Ministries to facilitate “Warehousing” as “Industry”. The SIFC Executive Committee in its meeting held on January 22, 2025 at PM Secretariat Islamabad taken decisions on status of “Industry” to “Warehousing” and advised lead Ministry of Industries & Production (MOIP) to grant “Industry” status to “Warehousing” and to prepare comprehensive plan within one month with imperative

actions at the level of all concerned Ministries, FBR, Power Division  & NEPRA  in this regard. The cut-off date/timeline was set to  March 30, 2025 which has been elapsed.

According to WLA, it had written a self-explanatory letter to NEPRA Chairman to reverse/ notify Industrial Tariff for Warehousing (Cold Storages/Cold Rooms & Temperature Controlled units) on April 3, 2025 but to no avail and compliance till date causing inordinate and indefensible delays in the implementation of Federal Cabinet’s decision to declare “Warehousing” as “Industry” and apply industrial tariffs to Warehousing companies,

The Federal Ministry of Industries & Production (MOIP), pursuant to the Federal Cabinet’s approval of January 06, 2025, whereby the Cabinet has formally declared the Warehousing sector as an “Industry”, while notifying the decision has issued Notification  on February 06, 2025, for the sake of implementation has also issued Office Memorandum on May 7, 2025, requesting the Ministry of Energy, Power Division to take necessary steps for the effective implementation of the Federal Cabinet’s decision.

After explaining the background, WLA has requested the Power Minister to take cognizance in this matter and use office to implement Federal Government’s Order/Notification/ Cabinet’s decision declaring “Warehousing” as “Industry” with

imperative directives to the Chairman NEPRA to change tariff category by reversing/ notifying “Industrial Tariff” for Warehousing (Cold Rooms, Cold Storages & Temperature Controlled units) companies at par with other “industrial undertakings”, as per law and in accordance with the Federal Government/MoI&P’s subject notification and clarification. Ends

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