10pc raise in power tariff from October

ISLAMABAD (Online)- Ministry of Water and Power spokesman has said power tariff will be raised from 8 per cent to 10 per cent from October 1 in the first phase of programme pertaining to withdrawal of subsidy from energy sector in line with International Monetary Fund (IMF) conditions. This was stated by spokesman of Water and Power Ministry and Additional Secretary Zarar Aslam while giving briefing to media men here on Saturday. He said govt had evolved plan to increase power tariff to withdraw subsidy from electricity in consonant with IMF conditions. From October 1 power tariff will be jacked up 8 to 10 per cent, 4 to 5 per cent tariff will be increased from January 1 next year and 4 to 5 per cent in third phase from April next year. He told govt had imported rental power plants with capacity of 3500 megawatt on emergency basis to end loadshedding from the country and these would help overcome power crisis once for all by the end of this year. Rental power plants would be returned after completion of wind, solar, hydro and thermal power projects within 3 to 6 years, he added. Power plant of 320 megawatt gifted by Dubai would reach the country in next August, he revealed. Pakistan has potential to produce electricity equal to 3.5 lakh megawatt from wind energy, 29 lakh megawatt from solar energy and 60,000 megawatt from hydel energy and govt was trying its best at all level to tap this potential. He indicated power breakdown at Mangla power station had occurred due to fault of burning of cables. However, govt had restored 2 out of 10 units on temporary basis, which were producing 200 megawatt electricity. The remaining 8 units would be revived by July 25 and production of 1100-megawatt electricity would be ensured from these units, he said. Government was placing special focus on alternate resources of energy and more reliance would be placed on wind and solar energy and other resources in line with this policy. Besides it the construction of dams was very essential and no compromise would be made in this connection, he underscored. Construction work on Basha dam would be started next year. The cost of whole project was estimated at $11.6 billion while Asian Development Bank had held out assurance to provide $5 billion loan and Islamic bank $1 billion loan, he said. He pointed out govt had planned to privatise FESCO, QESCO, HESCO and PESCO and all the weaknesses have been removed to ensure successful privatisation keeping in view failed experiment of privatisation of Karachi Electricity Supply Company.

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