Islamabad: Special Assistant to Prime Minister Imran Khan for Finance DrWaqar Masood has said that the increase in electricity prices has beenpostponed for the time being and the salaries of employees will beincreased in the next budget.
Dr Waqar Masood in a briefing to theNational Assembly Standing Committee onFinance said that the proposal to reduce the sales tax was beingconsidered.He told that the finance minister is proposing a reward schemeon sales tax which will benefit the buyer.
Dr Waqar Masood said that the current junta has told theInternationalMonetary Fund(IMF) that the circular debt will not be increase this yearwhile the remaining conditions of the fund would be fulfilled.He addedthat: “Government is working with the IMF on the budget for the new fiscalyear to be presented soon.”Earlier, on May 21 the Federal Governmentapproved to increase the electricity rate by Rs1.72 per unit.
Federal Cabinet approved the summary through a circular in which thegovernment has decided to increase the electricity price in three differentquarterly adjustments.The increase in electricity prices will beimplemented from October 2021, sources said.According to the details, therates were increased to generate about Rs 6.9 billion additional revenue.
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Earlier, in a statement by NEPRA, it was revealed that running power plantsoutside the merit order had imposed an additional burden of Rs 3.90 billionon consumers.The officials said that the increase in the cost of powergeneration was due to the unavailability of gas.
