State Minister for Information and Broadcasting Farrukh Habib said on Sunday the PTI government was trying its level best to pass on the minimum impact of global inflation to its masses and in this connection, focused policies were being launched to enhance domestic production in addition to minimizing imports of food items.
Addressing a press conference here at Circuit House, he said that 40 percent increase had been recorded at international level particularly in food items.
Citing the statics of Food and Agriculture Organization UN, he said that inflation was a global phenomena which had further aggravated the situation due to coronavirus. He said that it was very difficult for the government with highly volatile economy to rein in its impacts and save people from high inflation rates.
He said that edible oil and pulses were generally imported to meet domestic needs. As per the report, 124 percent increase had been recorded in edible oil, 28% in dairy items, 10 % in meat, 57 % in sugar while 37 percent increase had been witnessed in the cereals and pulses.
He said the PTI government fully utilized its resources and administrative skills to control the prices of food items which were produced locally. He refuted the allegations of PPP and PML-N and said that Pakistan had controlled the inflation prudently while a reasonable subsidy was given to maintain the prices of flour and sugar, etc.
Farrukh Babib said the PTI government had initiated a new project of National Food Security to enhance domestic production of edible oil, cereals and food to save people from the impact of global price hike.
He further said that petroleum prices also jumped in the international market but in Pakistan, the government maintained it static for the last two months. In this connection, petroleum levies have been trimmed and the government had to bear an additional burden of Rs 8 billion to give cheaper petroleum products to its people.
He said the opposition was presenting fake data just to malign the PTI government which had successfully controlled the prices in addition to managing the affairs of the country.
He said that the previous government had created a very hostile environment for the PTI government.
He said that imported fuel was used in generating 45% electricity. He alleged that past regime of PML-N established 25-35 % costlier power houses which had become a liability for the people of Pakistan for the next many years.
He said the PML-N government provided costlier electricity which had become an unbearable burden not only on the people but also on the national kitty. He said that unbalanced agreements were made with the IPPs and now we are bound to make them capacity payment which had triggered circular debt.
He said that former premier Shahid Khaqan Abbas had termed it as number one problem of the country but “We are trying to get through it with prudent policies and switching over to the hydel power houses by constructing new water reservoirs”.
He said that PML-N government enhanced power generation but failed to arrange transmission lines. “Now we started work on laying transmission lines which will help government to transmit electricity from energy surplus areas to energy starved areas”, he added.
The State Minister said that capacity charges were Rs 185 billion in 2013 which jumped up to Rs 468 in 2018. Similarly, the PTI government had to pay Rs 860 billion to the IPPs in 2020 as capacity charges which would jump to Rs 1455 billion in 2023.
He said that PML-N government handed over battered economy to PTI which was further aggravated by the impact of coronavirus. “Our government has negotiated with 50 IPPs and convinced them to reduce the return rate and thus saved Rs 770 billion”, he added.
All economic indicators are positive and we are hoping to pass on more benefits to the general public in the next two years, he said.
He said that the Sindh government should also discharge its constitutional liabilities and focus on the welfare of the province. He lamented that the Sindh government was encouraging mafias who were looting the people with both hands.
He further said the PTI government had distributed Rs 1100 billion among the farming community which played a key role in dragging out the farmers from the poverty track.