New Relief Plan sent to IMF regarding Electricity Bills
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The caretaker government in Islamabad has made a significant decision regarding the allocation for Independent Power Producers (IPPs) in the budget, intending to alleviate the burden of electricity bills. This move is based on information from sources within the Finance Ministry.
In its discussions with the International Monetary Fund (IMF), the government has proposed a fresh relief plan for electricity bills, as disclosed by sources within the Ministry of Finance. This plan entails the utilization of over 15 billion rupees originally designated for IPPs to provide relief for the high electricity bills.
Sources indicate that the Finance Ministry has sent the new proposal for electricity bill relief to the IMF. In the current fiscal year's budget, an additional allocation of over 15 billion rupees was made for payments to IPPs, which can now be adjusted to offer relief on these bills. It has been clarified that this sum of over 15 billion rupees will be allocated to IPPs once the installments of bills have been recovered.
Furthermore, officials from the Finance Ministry will engage in discussions with the IMF regarding this new plan, assuring the lender that relief will be provided without exceeding the budget parameters.
Prime Minister Anwaarul Haq Kakar, on Monday, expressed his government's commitment to exploring realistic and innovative solutions to address the concerns of electricity consumers. He emphasized the importance of making informed decisions to appease consumers while upholding the country's commitments to international financial institutions.
PM Kakar acknowledged issues such as circular debt, power theft, and taxes, stating that the government would introduce short-term solutions to address these matters without disregarding the grievances of the people.
The recent nationwide protests against inflated power bills, extending from Karachi to Khyber, have garnered attention. Protests in certain regions have escalated into violence, with demonstrators demanding an end to the provision of free electricity to prominent individuals and seeking relief from bills that exceed their salaries.
