The Federation of Pakistan Chambers of Commerce and Industry’s Businessmen Panel (BMP) has said that the relief in power tariff is a step in the right direction, asking the government to continue working closely with the businessmen to monitor energy pricing and ensure long-term tariff stability for the trade and industry.
The FPCCI former president and BMP Chairman Mian Anjum Nisar, while appreciating Prime Minister Shehbaz Sharif’s announcement of a substantial reduction of Rs7.59 per unit in electricity tariffs for industrial consumers, stated that it is a critical move that will ease financial pressure on both businesses, emphasizing that the relief package came at a time when it was needed the most.
Anjum Nisar called the initiative a historic intervention and a bold step towards providing relief to millions of households and thousands of businesses across the country. This tariff reduction would have far-reaching positive effects, which will not only ease the financial burden on consumers but also revitalise the industrial sector, fostering economic growth, enhancing exports, and contributing to a more competitive business environment, he said.
It is an essential catalyst for the growth of local industries. Over the years, high energy costs have hindered industrial productivity, and this reduction will bring tangible benefits to manufacturing and exports, which are the key drivers of economy, he remarked.
It is to be noted that business community across the country has welcomed the reduction of power tariff for industrial consumers and expressed hope that this move would enhance exports, production capacity and reduce cost of manufacturing and help reduce inflation.
Prime Minister Shehbaz Sharif has announced a decrease of Rs 7.41 in electricity prices for residencies consumers and a decrease of Rs 7.41 in electricity tariff after receiving approval from the International Monetary Fund (IMF) reduce tariff differentials.
While highly appreciating Prime Minister Shehbaz Sharif for his timely and impactful announcement of a substantial reduction in electricity tariffs by Rs7.59 per unit for industrial consumers and Rs7.41 per unit for domestic consumers, stated that it was undoubtedly a critical move to alleviate the financial pressure on both citizens and businesses that have long struggled with the burden of exorbitant energy costs.
They emphasized that this much-needed relief package comes at a time when it is most needed—offering significant reprieve to the public and industrial sectors which have faced escalating energy bills.
They recognized the Prime Minister’s initiative as a historic intervention and a bold step towards providing much-needed relief to millions of households and thousands of businesses across the country.
They noted that this tariff reduction would have far-reaching positive effects, not only easing the financial burden on consumers but also revitalizing the industrial sector, fostering economic growth, enhancing exports, and ultimately contributing to a more competitive business environment in Pakistan.
While commending the splendid job done by the Taskforce on Energy Sector constituted by the Prime Minister, they particularly appreciated the efforts made by Federal Minister for Energy and Special Assistant to the Prime Minister on Power Muhammad Ali that resulted in providing a huge relief to the entire nation.
We wholeheartedly commend Prime Minister Shehbaz Sharif for this landmark decision. Reducing electricity tariffs is not just a welcome relief for millions of domestic consumers and businesses, but it is also an essential catalyst for spurring the growth of local industries.
Over the years, high energy costs have severely hindered industrial productivity, and this reduction promises to bring tangible benefits to manufacturing and exports, which are key drivers of Pakistan’s economy. They further highlighted the particular significance of this tariff reduction for Karachi’s industrial sector, which has long been weighed down by soaring electricity prices.
He praised the government for taking decisive action in addressing the challenges faced by the private sector, acknowledging their concerns, and responding with a practical and effective solution that will help rejuvenate industrial activity and fuel economic progress.
This announcement is a step in the right direction, he stated. They reiterated BMP’s commitment to collaborating with the government to create a favorable business climate that drives sustainable economic growth and enhances Pakistan’s global competitiveness.
He expressed optimism that this initiative would be the first in a series of positive reforms aimed at strengthening the nation’s industrial base and stimulating economic activity across key sectors.
As the country grapples with rising inflation and economic challenges, this decision marks a turning point in the government’s efforts to support businesses and ease the financial burden on consumers.
The leadership of BMP looks forward to continued dialogue with the government to ensure that such pro-business and pro-growth measures are sustained and expanded, further advancing Pakistan’s economic prosperity.
He highlighted that the government’s move to lower electricity rates for industrial consumers by Rs. 7.59 per unit, bringing the tariff down to Rs. 40.60 per unit from Rs. 58.50 per unit in June 2024, will significantly benefit the sector.