PM Imran approves increment in electricity prices to resume IMF program

• It was inevitable to increase electricity prices to 3.34 PKR per unit, to resume International Monetary Fund’s (IMF’s) program of 6 billion Dollars loan.  
• It is yet to be decided if the increment would take place on one go or in two terms of 3 months (in 6 months), said Kamran Afzal special secretary to finance ministry.

Islamabad: Pardachaak – Prime Minister Imran Khan had approved the increase in electricity prices and reason was to resume the stopped International Monetary Fund’s (IMF’s) 6 Billion Dollar loan program that was being delayed from last 10 months. It was inevitable to increase electricity prices.

According to the details, 3.34 PKR would be increased in electricity prices which means 25 percent increment in electricity prices. It is officially decided to increase the electricity prices.

However, it is yet to be decided if the increment would take place in one go or will be divided in to 2 terms of 3 months (6 months overall).

Government’s team of economists has started working on the plan to increase the prices and the circular debt of 1 trillion and 200 billion PKR. The current basic tariff of electricity is 13.35 PKR per unit, which will go up-to 16.69 PKR per unit.

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“The increment in electricity prices is the basic term of IMF’s program. However, there is no chance of the visit of IMF’s team to Pakistan till the time of the issuance of notification from the government”, informed sources told.

Sources also stated that the PTI government is also thinking on the option to end most of the tax immunities given to the corporate sector which will gather overall 200 billion PKR tax revenue.

According to the figures of power division, the current tariff of 13.54 PKR is on implementation from last September and the increment would be conveyed to the customers in terms of monthly adjustment.