Govt Hikes Power Tariff By Rs3.50/Unit.

ISLAMABAD -- The federal governAment on Tuesday inAcreased the base powAer tariff by Rs 3.50 per unit and announced that the next two phases with the acAcumulative impact of Rs4.41/unit will be imAplemented by October.

Of the total Rs 7.91/unit national average increase in base tarAiff, Rs 3.50/unit hike in the tariff would be effective from July 26 while anothAer Rs 3.50/unit from August, and anothAer Rs0.91/unit hike from October, FederAal Minister for PowAer Khurram Dastagir said while addressing a press conference here. Flanked by MinAister of State for PetroAleum Musadik Malik, the power minister claimed that one third consumers will not be affected by the rebasing of powAer tariff. The government will increase base tariff by Rs 7.91/unit taking the National Average from Rs 16.91/unit to Rs.24.82/unit. The decision will enable government to recover addiAtional Rs893.83 billion from the consumers during ongoing fisAcal 2022-23.

Khurram Dastagir said that cabinet had approved increase in base electricity prices.

The hike in base tariff would have no such impact on the conAsumers as the increase had alAready been reflected in the monthly bills on account of fuel prices adjustment, he added.

However, he said that governAment had protected poor segAment of the society from the inAcrease. The government had not made any changes in electriciAty rates for the users consuming from 1 to 50 units in a month. Similarly, there would be no inAcrease in tariff for the consumAers using 200 units in a month, he added. First three months would be difficult for the conAsumers but the power prices would start decreasing from NoAvember after reflection of fuel surcharge in the tariff, he added.

The cabinet had also decided to provide smooth and uninterArupted power supply round the clock to the dedicated industriAal feeders to protect the liveliAhoods of the people, the power minister said.

He said it was also decided to provide both gas and electriciAty on priority basis to five major export sectors on reduced rates. An announcement to this effect would be made soon, he added.

The minister said that powAer generation has...