Govt seeks Rs1.71 per unit cut in electricity price
Business
The relief will be provided by increasing the tariff subsidy for a period of three months
ISLAMABAD (Dunya News) – The federal government has submitted an application to the National Electric Power Regulatory Authority (NEPRA) seeking a decrease in electricity prices.
The relief in electricity prices will be provided by increasing the tariff subsidy for a period of three months from April to June. The hearing on the petition subsidy will take place on April 4.
If it is approved, DISCOs and K-Electric consumers will receive a relief of Rs1.71 paisas per unit, and the subsidy will be provided to all consumers, except for lifeline users.
A day earlier, the International Monetary Fund (IMF) has allowed the Pakistan government to reduce the electricity tariff by Re1 per unit.
The relief will be provided as part of the basic tariff for electricity units while the amount for it will be arranged from the revenue generated through the levy on captive power plants. A levy has been imposed on the use of gas by captive power plants.
The government is also working on a relief package for electricity consumers, and it would be announced after getting approval from the global lender.
The move comes days after IMF and Pakistani authorities reached a staff-level agreement on the first review under Pakistan’s Extended Fund Facility (EFF) and on a new arrangement under the Resilience and Sustainability Facility (RSF).
