ISLAMABAD – The federal government on Monday approved 18 paisas per unitincrease in electricity rates to generate additional revenue as it ismaking efforts to resume International Monetary Fund’s (IMF) $6 billionloan programme, which is stalled for about ten months.
According to a notification issued by the Ministry of Energy PowerDivision, the per unit price has been increased to Rs13.53 from itsprevious rate of Rs13.53.
The power tariff for customers, who are utilising electricity up to 300units, has been surged by 15 paisas while the price those exceeding 300units 18 paisas has been increased by 18 paisas.
The new tariff will come into effect from running month for next tenmonths.
The development comes days after reports claimed that Prime Minister ImranKhan has approved an increase of Rs3.43 per unit in electricity price toresume IMF talks.
The IMF agreed to the rescue package in 2019 as the South Asian country wasgrappled with a balance-of-payments crisis.
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So far, Pakistan has managed to receive $1.44 billion under the loanprogram. The country was hoping to secure another tranche of about $450million in March 2020 but the IMF and Islamabad failed to reach anunderstanding during the second quarterly review.
Succumbing to the pressure by the global lender, PM Khan has givenin-principal approve to accept IMF’s demand about rising power tariff butit is yet to decide the increase will be made at once or gradually.
Following the approval, the economic team of the prime minister hasinitiated consultation on price hikes and circular debt of Rs1.2 trillion.
The current power tariff stands at Rs13.35 per unit and it will surge toRs16.96 after the decision.
