Who will ensure consistency?

LAHORE: Serious actions have for the first time been taken against currency speculators and power and gas thieves by the caretaker government. These measures should have been taken by elected governments, as the positive impact of these actions manifested immediately.

The question is why the past elected governments let these issues grow out of hand? Why could they not take the same actions? The answer is simple: the elected governments come into power with the blessings (funding) of these unscrupulous elements. They could not annoy their patrons.

Another question that comes to mind is that would these operations continue after the caretakers’ hand over power to the elected representatives? Will the caretaker government be able to break the nexus that exists between these elements and the bureaucracy?

Addressing issues related to tax evasion, smuggling, and currency speculation requires a multifaceted approach that combines strong governance, effective legislation, and international cooperation. While the caretaker government has a limited window of opportunity to make improvements, a sustainable solution involves long-term strategies.

The nexus of these unscrupulous elements has been weakened but not eliminated, and both partners in crime are waiting for an opportune time to resume their activities. We are still operating with weak institutions and current compliance is because of the support of concerned circles in our set up. Will the elected government try to dilute the situation in favour of law breakers?

We must understand that because there is generally no respect for law and rules in Pakistan, the administrative measures to impose rules and law create a positive hype. We have not yet seen the actual impact of action against power and gas mismanagement.

The government should notify the performance of each power distribution company in the month of September 2023 and compare it with the performance of each disco in September 2022.

It should be noted whether there is a significant decline in monthly circular debt? Or have the recoveries substantially increased? We must note that not many influential names have been apprehended in the action against power theft.

The power staff is taking action against petty thieves and some industrialists who probably committed theft without paying the rent. Are some elements within the power and gas utility companies protecting their patrons?

The caretaker government must work on war footing to eliminate corrupt elements from the system. This might result in over 50 percent of the staff in both the gas and power sector losing their jobs. Corruption in these sectors has been institutionalised and booty is distributed from the lowest to the highest level. This is the reason the system operates so smoothly.

Another positive action of the caretaker government has been the continuation of the policies of the past government. It is honouring the IMF deal of the past government in letter and spirit.

Petroleum, gas and power rates are adjusted; ensuring that the government fetches Rs60 per litre from sales of petrol and Rs50 per litre on sales of diesel as desired by the IMF.

This fortnight, the government adjusted petroleum rates at a lower level because of rupee appreciation against the dollar, but prices would go up if global prices rise or rupee weakens. It is because of the consistency of policies that the exports finally moved up marginally in September after constantly declining in the past 12 months. This increase was achieved despite withdrawing power and gas concessions from exporting sectors.

The question is, would the next elected government continue with these policies or resume public appeasing policies at a time when it lacks resources. Will it continue with reforms brought by the caretaker IT minister?