Federal Energy Minister Awais Leghari said on Friday that negotiations with 11 other independent power producers (IPPS) were currently underway to reduce electricity tariffs.
While briefing on the ‘Bijli Sahulat package’, Laghari said the government had terminated power purchase agreements with five IPPs, a move expected to save the economy billion rupees by reducing capacity payments.
He said Pakistan would no longer be among the countries producing expensive electricity.
“We hope that in the coming months, Pakistan will not be a country producing expensive electricity in the region.”
He said providing relief to citizens remains a top priority.
“It is the directive of the Prime Minister to ensure relief to consumers,” he added.
Under the dynamic vision of Prime Minister Shehbaz Sharif, promotion of economic activities was a key priority and the power sector played a crucial role in strengthening the national economy.
The minister described the electricity assistance program as a revolutionary step that achieved a significant milestone in the electricity sector, contributing to economic stability.
“We have launched reforms not only to rationalize the electricity sector but also to make it profitable,” he added.
He highlighted the importance of the power sector as the backbone of the country’s economy, adding that the government had fulfilled its promises to the public.
This package, he noted, will provide relief to domestic consumers while simultaneously boosting industrial activities.
Earlier this month, the government announced the ‘Bijli Sahulat Package’ for the winter months of December 2024 to February 2025. A flat rate of Rs 26.07 per unit will be offered for any additional electricity demand above to the historical reference average, we read in a press release. issued by the Energy Division.
“Industries that consume more electricity, beyond a reference established based on their historical consumption, will benefit from a reduction of 18% to 37% on the current rate. »
— With an additional contribution from the APP.