Islamabad – The Economic Coordination Committee (ECC) of the Cabinet has approved a policy shift in electricity tariff rebasing, setting January 1 as the annual implementation date instead of July. The decision aims to mitigate public dissatisfaction caused by simultaneous tariff adjustments during peak summer months.
The meeting, chaired by Finance Minister Senator Muhammad Aurangzeb, approved policy guidelines for the Power Division to amend the regulatory framework, enabling the new rebasing timeline. This change is expected to ease the burden on consumers already dealing with high Fuel Charges Adjustments (FCAs) and Quarterly Tariff Adjustments (QTAs) during the summer.
Key Decisions:
Tariff Rebasing Timeline: Effective from January 1, 2025, rebasing will align with the completion of regulatory proceedings by NEPRA.
Mitigating Public Backlash: The timeline change seeks to prevent excessive billing during high-consumption summer months, which has historically led to public protests.
Additional Approvals by ECC:
National Food Safety: Allocation of Rs910 million as a Technical Supplementary Grant (TSG) for establishing the National Food Safety, Animal, and Plant Health Regulatory Authority (NFSAPHRA).
Pakistan Steel Mills (PSM): Approval of Rs935.78 million for employee salaries for FY 2024-25 from the allocated budget of Rs3.5 billion.
Regulatory Duties on Steel: Extension of duties on flat steel products until March 31, 2025, with no further extensions.
Frontier Corps (FC) North: Sanctioned Rs941.4 million for operational needs during FY 2024-25.
Afghan Transit Trade: Replaced bank guarantees with insurance guarantees for DAP imports under APTTA via Gwadar Port.
EOBI Budget Concerns: Expressed disapproval of delayed submissions and audits; approved FY 2024-25 budget proposals but withheld revised estimates for FY 2023-24.
Finance Minister Aurangzeb stressed the need for efficient and transparent implementation to ensure effective outcomes. The meeting was attended by senior federal ministers, secretaries, and officers from relevant departments.
Story by Tahir Amin
