Due to increasing inflation, the government is working on a proposal to freeze power tariff for a year.
Power Division Secretary Irfan Ali told the Senate Standing Committee that, “We are working on a proposal to freeze power tariff for a year instead of revising it on a monthly or quarterly basis.”
On account of monthly fuel and quarterly adjustments, the power tariff has been revised almost 17 times in a year. Now the Power Division is working on a proposal to just adjust tariff in a year.
Furthermore, he said that even though the International Monetary Fund (IMF) did have a few reservations regarding the power tariff issue, the Fund has agreed to the proposal of introducing a power tariff annually. Further details about the proposal were not provided as he said a presentation will be given to the PM and the cabinet regarding this matter.
Also, he said that Power Division is working on a plan for revision in power tariff over a year. He said, “A presentation will also be given in this regard.”
The power secretary also pointed out that the government is working on changing the Nepra Act. Under the new plan, any decision of the National Electric Power Regulatory Authority (Nepra) needs to be enforced to avoid any delay in political consideration.
He informed that changes are being made to challenge the decisions of Nepra in a tribunal. Due to a delay in the implementation of Nepra’s decision, Rs80 billion loss was suffered by K-Electric.
It was agreed by the committee members that Nepra’s decisions must be implemented without any delay.