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Gohar Ejaz proposes major reforms to slash electricity bills in Pakistan

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Staff Reporter

ISLAMABAD: Former caretaker minister and APTMA patron-in-chief Gohar Ejaz has proposed measures to reduce high electricity bills in Pakistan and reduce the debt of the nation.

He recommended that the government stop the Rs2,000 billion payment to Independent Power Producers (IPPs) unless they produce electricity, advocating for payments based solely on actual power generation.

Ejaz also suggested lowering the electricity rate to under Rs10 per unit for consumers using up to 200 units monthly and keeping the rate for others below Rs30 per unit.

Additionally, he proposed reducing the interest rate to 12 percent, aligning it with the current inflation rate, to help the government cut Rs3,000 billion in debt.

He recommended reinstating the “no-tax, no-refund” policy for the export sector and reducing income tax for salaried individuals.

On August 1, Ejaz highlighted that 70 percent of payments are made without corresponding electricity production. He emphasized that IPPs should only be compensated based on the actual amount of power they generate.

Moreover, Ejaz mentioned that they are preparing a petition for the Supreme Court and called for a forensic audit of the IPPs to clarify the situation.

Staff Reporter

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