ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet has approved the abolishment of the Time-of-Use (ToU) tariff scheme for industrial consumers to spur industrial activity.
The meeting was chaired by Adviser to the Prime Minister (PM) on Finance and Revenue, Dr Abdul Hafeez Shaikh here on Thursday. Minister for Privatisation Muhammad Mian Soomro, Minister for Economic Affairs Makhdoom Khusro Bakhtiar, Minister for Railways Sheikh Rashid Ahmed, Adviser to the PM on Commerce Abdul Razak Dawood, SAPM on Revenue Dr Waqar Masood, SAPM on Power Tabish Gauhar and Adviser to the PM on Institutional Reforms and Austerity Ishrat Hussain participated in the meeting whereas Governor State Bank of Pakistan (SBP) Dr Reza Baqir joined the meeting through a video link.
During the meeting, the Power Division presented the case for the abolishment of tariff scheme to spur industrial activity amid the Covid-19 pandemic by removing the distinction between the current system of peak and off-peak hours as a part of the industrial support package.
The underlying rationale is to incentivise industrial units to operate round the clock and produce greater output during testing times.
Consequently, the ECC also accorded approval, in principle, to a proposal regarding an amendment in the respective SROs, both for the XWDISCOS and K-Electric, to charge off-peak rates against peak hours.