ISLAMABAD: The federal authorities has expressed optimism a few discount in electrical energy costs by Rs10-12 per unit amid ongoing talks with the International Monetary Fund (IMF) on captive energy vegetation.
“The matter concerning the captive energy vegetation is nearing decision,” Federal Minister for Energy (Power Divison) Awais Leghari stated whereas talking at a session of the National Assembly’s Standing Committee on Energy on Thursday.
The minister revealed plans to evaluate eight bagasse-based energy vegetation and a further 16 vegetation.
He famous that these evaluations could be adopted by an evaluation of government-owned vegetation’ return on fairness. “By the top of this month, the problem of captive energy vegetation can be resolved,” he stated including, “The electrical energy costs for home customers have already been diminished by Rs4 per unit.”
The energy minister expressed his ambition to decrease the general electrical energy charge by Rs50 but additionally cited the complexities of attaining this aim.
Addressing issues about Ok-Electric, Leghari criticised the facility utility’s demand for Rs500 billion in income over the following 5-7 years, calling it unreasonable.
He burdened that such a revenue margin would unfairly affect customers in Khyber Pakhtunkhwa and different areas.
The assertion comes amid Prime Minister Shehbaz Sharif-led authorities’s repeated requires the necessity to cut back the exuberant electrical energy costs.
Earlier this month, sources instructed Geo News {that a} tariff revision for eight bagasse-based energy vegetation would save Rs238 billion, equating to an annual saving of Rs8.83 billion.
Additionally, the termination or modification of contracts with 16 extra IPPs would end in an additional good thing about Rs481 billion. These financial savings can be handed on to customers within the type of diminished electrical energy prices.
Apart from finalising the terminating of contracts with 5 IPPs final yr, the federal government, final month, additionally accomplished the negotiations with RFO-based vegetation underneath “take and pay” phrases.
Earlier, it was reported that Islamabad goals to slash electrical energy tariffs by Rs12 per unit by March 2025 by agreements with the IPPs and renewable power sources like wind and solar energy vegetation.
“We will be capable of cut back the facility tariff by Rs3 per unit by talks with IPPs, GPPs, wind and solar energy vegetation. And the debt re-profiling will additional assist cut back the tariff by Rs4 per unit,” a senior authorities official instructed the publication in December 2024.
