Govt increased massive electricity rates by Rs 3.50 per unit from July 26
The government on Tuesday announced an increase in the base electricity rates by Rs 3.50 per unit to take effect from July 26, 2022.
The government will increase Rs 7.91 per unit in base electricity tariff from the National Average of Rs 16.91 per unit to Rs.24.82/kWh, 47 to recover an additional Rs893.83 billion from the consumers during the ongoing fiscal 2022-23.
The government on Tuesday implemented the first phase of an increase in base tariff by Rs 3.50 per unit effective from July 26, 2022.
Electricity rates increase in the second phase in August
In the second phase, the government will increase the base electricity tariff by Rs3.50 from August and Rs0.91 per unit hike from October.
Electricity bills 2022-2023: Consumers to pay a Rs 7.9 per unit hike
Energy Ministers-Minister for Power Division Khurrum Distigir and state minister for Petroleum Musadik Malik announced an increase in tariffs during a joint press conference here on Tuesday.
Power Division Minister said that the cabinet had approved an increase in electricity prices.
However, he added that the government had protected the poor segment of society. He added that the government had not made any increase in electricity rates for the users consuming from one to 50 units in a month.
Minister also added that there would be no increase in tariff for the consumers using 200 units in a month.
Energy prices will start decreasing from November, said Energy Minister. He said that by December, the basic electricity tariff will be up to Rs 24 per unit.
Much of the increase is coming to bills in the form of fuel surcharges and there will be no increase on the head of the fuel adjustment due to higher electricity base tariff, the energy minister said.
Earlier, the government had increased electricity rates in February. The government is protecting the poorest citizens of Pakistan, Energy Minister said.
Dastigir said that the federal cabinet had taken important decisions regarding electricity rates.
Power supply to industrial feeders in the country will be continuous, Federal Energy Minister said adding that five major export sectors will be provided gas and electricity at low cost.
Federal Energy Minister said that the purpose of the decision is to benefit from exports and Pakistan’s export industry is fully ready for competition.
In June, electricity production from Tarbela has gone up to 4500 MW, Minister of Energy.
Minister further said that coal and gas were not available in the world market at the moment and gas supply was available from friendly countries.
Efforts are being made for power supply and availability, Energy Minister said adding that the next few months are difficult due to the rise in electricity rates.
Energy Khurram Dastgir Khan Power division minister also claimed that circular debt had come down by Rs 214 billion.
Currently, the bills that have not been received in the power division have reached Rs 1000 billion, said the energy minister.
These bills’ recovery stood at Rs 300 billion in 2018 when the PML-N government left. Now, these bills had increased seven times.
A new law is in the works that will bring transparency in commercial transactions between governments, says Energy Minister. He said adding that many friendly countries want to invest in Pakistan.
He added that there were delays regarding privatization and added that the draft law on privatization for investment in Pakistan will soon land in the assembly for approval.
Minister of State for Petroleum Musadik Malik said that the efforts being made by the current government would start yielding results in November this year.
Malik again shifted the blame on the previous government for all ills, saying it did not increase electricity production prices from February 2021.
These electricity prices will not have any effect on 45% of Pakistan’s population, Malik claimed to add that around 13 million people are in the protected slab.
