Islamabad: Prime Minister Shehbaz Sharif has announced a major relief of Rs 7.41 per unit on electricity for home consumers and Rs 7. 69 per unit for industrial consumers.
The Prime Minister announced the relief in televised address to a ceremony on the government reduction package in electricity prices attended by federal ministers,ministers of states, businessmen, industrialists, traders.
He described the reduction as a gift to the nation on the occasion of Eid.
The premier said that the reduction in electricity tariff will speed up economic activities all across the country.
The all residential costumers across the country will now get electricity from Rs 37.64 per unit, he said.
On the other hand the industrial customers will buy electricity in Rs 40.51 per unit, he apprised.
He said that residential costumers were getting the electricity Rs 45. 5 per unit till now, while industrial costumers were availing the electricity from Rs 40.19.
Shehbaz Sharif emphasized that a significant reduction in power tariffs is crucial for uplifting industries and agriculture, as well as boosting exports.
Prime Minister Shehbaz Sharif said that owing to expensive electricity rates the country economic activities have been suffering a lot.
The PM said that micro economic indicators of the country economy have improved.
He apprised that there is a huge amount of Rs 2393 billion of circular debt of electricity.
He announced that we have conducted arrangements for fixing the circular debts once for all.
He said that the circular debt will be retired in coming five years once for all.
Shehbaz Sharif also expressed his determination to tackle power theft, which amounts to 600 billion rupees annually.
He stressed the importance of privatizing all power distribution companies or transferring them to provincial authorities.
He apprised that in last month of Ramadan the Government power producing plants have been sold out by Rs 9 billion .
The premier said that petrol prices have reduced Rs 38 per litre in the first year of the government.
He said that interest rates declined to 12 percent from 22 percent adding that the inflation has come to single digit from 38 percent.
The PM said that we have complete support and cooperation of Chief of Army Staff (COAS) Gen Syed Asim Munir in stabilizing the economy.
He further said that we saved a whopping Rs 3696 billion from International Power Producers (IPPs) through a long and tough negotiations.
The PM said that we have won over the IPPs to end the whopping burden of Rs 3696 from the country exchequer.
Discussing the economic challenges faced by the country, the Prime Minister said that tireless efforts had prevented the nation from defaulting.
He expressed satisfaction that the economy has now achieved fundamental stability.
He commended cabinet members for their contributions to the country’s progress.
He said difficult decisions will have to be taken to restore the true stature of the country in the comity of nations in general and the Muslim Ummah in particular.
He said privatization and rightsizing are part of these efforts.
He said that eliminating the 800 billion rupees in losses incurred by State-Owned Enterprises is essential, and a mechanism has been devised to address this issue.
