Delighted to hear of (@magmmz) Mr. Mohammad Ali, (@Mowp15) Federal Minister of Power and Petroleum's plan to reduce the power tariff for industry to 9 US cents/KwH. Industry creates jobs, generates exports, reduces reliance on imports and boosts tax revenue (contributing 56% of direct taxes). Competitive industry stabilizes the exchange rate by bridging the deficit on the current account. Therefore it has a positive impact on managing the landed cost of imported energy inputs, which benefits all consumers. Clearly, industry cannot compete with the region with power at 14 US cents/KwH. Certainly, export customers cannot be expected to pay for the peculiarities of our energy sector.
The Minister's plans will use up unutilized generation capacity, reducing the government's capacity charges. His plans are therefore a "win-win" for the government, for industry and for consumers in general.
PBC had additionally recommended lower power tariffs for domestic users to incentivize them to switch to electricity for heating and cooking in the winter.
Lastly, a review is required of the burden of cross subsidies on industry, which thwart the engine of growth.
@PakPMO@Financegovpk@sifcpakistan@1sakhtar@IMFNews
A fake notification is being circulated on social media regarding ban on circulation of Rs 5000 currency notes w.e.f 30th September 2023. It is for information of general public that this is false information. (1/2)