ISLAMABAD – Energy Minister Awais Leghari acknowledged in the Senate on Thursday that electricity prices are currently high but assured that through reforms, the government aims to provide cheaper electricity to consumers within the next 18 months.
During the question-answer session, Minister Leghari addressed circulating news about a federal cabinet decision to increase electricity rates. He clarified that the regulator sets the average price for the entire year every June. “Given the average hike rates last June, the cabinet, with Prime Minister Shehbaz Sharif’s directive, decided not to place the entire burden on the people. A burden of Rs5.72 per unit has been applied after injecting subsidies of Rs440 billion,” he noted.
The minister pointed out that the impact of the price adjustment for protected consumers would be around 2%. He admitted that electricity prices are high but assured that reforms are underway. “We will be in a position to provide cheap electricity in a year and a half. We admit the price of electricity is high, but reforms are underway,” he contended.
Leghari further explained that if the interest rate does not increase and the dollar remains stable, the price could decrease by two to three per cent per unit in January next year. He highlighted that the burden on the industry had been reduced by Rs150 billion and noted that many consumers are currently paying between Rs7 and Rs15 per unit, while the average price per unit is Rs35.
In other proceedings, the Senate adopted a unanimous condolence resolution expressing profound grief over the demise of former senator Hidayatullah and his colleagues in a tragic bomb blast in the Damadola area of Bajaur on Wednesday. The resolution, moved by Senator Kamran Murtaza, called on federal and provincial governments to take urgent and effective measures to combat the insurgent threat of terrorism in the country.
Additionally, in response to a question, the law minister stated that a senator’s salary is Rs170,000 per month after tax deductions, whereas a judge of the superior judiciary takes home no less than Rs1 million.
