The federal cabinet has approved another massive hike in electricity prices in an attempt to comply with IMF conditions.
The decision to raise electricity prices came as a powerful jolt to the masses, that are already grappling with the impacts of inflation.
Under the new tariff structure, the price per unit of electricity has been hiked from Rs. 3 to Rs. 7.50 per unit. The federal cabinet approved this major price adjustment through circulation.
Earlier, the National Electric Power Regulatory Authority (NEPRA) had already sanctioned an increase in electricity tariffs for the current financial year. The federal government submitted a request to NEPRA for raising the basic electricity price, and the authority is expected to conduct a hearing on this request before making a final decision.
The proposed price adjustments vary according to consumption levels. For consumers utilizing 100 units of electricity, the price increase per unit is set at Rs. 3. For those using 101 to 200 units, the electricity rate will be Rs. 4 per unit after the proposal’s acceptance.
Similarly, electricity consumers utilizing 201 to 300 units will face a proposed price hike of Rs. 5 per unit. For those using 301 to 400 units, the cost is set to increase by Rs. 6.50 per unit. Additionally, the government has proposed a significant increase of Rs. 7 per unit for consumers utilizing 400 to 700 units of electricity.
Once Nepra concludes its evaluation, the federal government will issue a formal notification to implement the proposed tariff hike. The scheduled date for the price increase is July 1.
Source: Pro Pakistani