PML-N governmentblamed for recent hikein power tariff

ISLAMABAD: The government held the previous government responsible for recent Rs0.83/unit hike in power tariff, saying that it was the PML-N government, which did not pass on the already increased tariff for one-and-a-half years for fear of losing vote bank. They [PML-N government] had left land mines behind them in shape of not revising the power tariff for 18 months and signing expensive electricity agreements, Minister of Power Omer Ayub Khan said this in a news conference.

He said that the PML government had installed expensive electricity generation plants. So, PTI is not responsible for the price hike as it is the result of the wrong policies of the previous government.

This increase in power tariff was inevitable to keep the power sector running and cut down the circular debt and other liabilities of the sector. Minister for Power Omer Ayub Khan said that the PML-N government did not notify the Nepra’s already decided tariffs for 18 months. The regulator had asked the government to notify it for implementation to collect Rs226 billion, but they willfully didn’t increase the power tariff for one-and-a-half years, therefore, PTI government had to make difficult decisions, Khan said.

He said that with recent price hike the government will collect Rs80 billion. The minister said that Rs25 billions of Rs80 billion will be spent on system up-gradation while Rs55 billion will go in circular debt.

He said the government had saved the poor class from power tariff hike, as it would be applicable on those consuming more 300 units/month. It would not affect 75 percent of the domestic power consumers, minister claimed.

He said that the government is trying to reduce the power rates through various measures and in coming days and months the result will be visible. The government has started crackdown against electricity theft, trying to control the circular debt and working on adding cheaper renewable energy to the system.

He said that by increasing efficiency and crackdown on electricity theft, the power sector collections have increased and in the last eight months, the power sector has collected Rs121 billion more revenue.

He said that the PTI government has made no decimation among the power thieves. “Anyone involves in power theft is thief and we will deal him like thief,” he added. The minister said that flow of circular debt was Rs38 billion per month during previous government, which has been reduced to Rs35 billion per three months.

He said government is taking steps to introduce new renewable energy projects in the country, which by the end of day will help in reducing the electricity prices. He also claimed that there is no loadshedding on eighty percent of the feeders.