In another significant development, the International Monetary Fund (IMF) has approved a Rs 15 billion relief package targeted at providing financial relief to Pakistan’s energy consumers.
According to sources close to the case, the Federal Board of Revenue (FBR) played a critical role in achieving this IMF relief, and the FBR has exceeded expectations by collecting an astonishing Rs 20 billion in excess taxes.
The IMF’s decision to grant Rs15 billion in relief, aimed at easing the financial burden on energy consumers, demonstrates the FBR’s remarkable performance.
It highlights the tireless efforts of important individuals in the caretaker government, such as Caretaker Prime Minister Anwarul Haq Kakar, Caretaker Finance Minister Dr. Shamshad Akhtar, and Caretaker Energy Minister Muhammad Ali.
The relief plan is projected to bring substantial advantages to consumers who consume up to 200 units of power.
According to sources, consumers in this group should expect to save between Rs 3 and Rs 4 per unit on their electricity costs.
Furthermore, provisions for late payments will be included, guaranteeing that these customers do not face penalties for late payments.
However, the IMF stated that consumers who spend more than 400 units of energy will not be eligible for this relief.
According to sources, the Federal Cabinet will approve final approval for deferred payments and the rescue package.
It is important to note that the relief in electric bills will only apply to bills for the month of August.
According to sources, at least 64% of individuals consuming up to 200 units of power across the country will benefit from this alleviation; also, late payments of clients falling into this group will not incur the regular 10% penalty.
Previously, the caretaker government proposed a fresh relief package for electricity bills in its correspondence with the International Monetary Fund (IMF).
According to sources, the government has planned to use around Rs 15 billion allotted for independent power producers (IPPs) to provide relief from high electricity bills.
“The finance ministry has dispatched a fresh relief proposal for electricity bills to the IMF,” sources say.
“Over Rs 15 billion were additionally allocated for payment to IPPs in the current fiscal year’s budget,” according to sources. “This amount can be adjusted to provide relief on bills,” sources noted.
“This over Rs 15 billion will be allocated for IPPs after bill installments are recovered,” sources stated.
“The finance ministry officials will hold talks with the IMF on the new plan, in which the lender will be assured of not providing relief outside of budget parameters,” sources added.