Islamabad: Information Minister Shibli Faraz on Saturday announced the government’s decision to sign agreements with independent power producers (IPPs) to make electricity affordable — with the initiative also aimed at lowering the country’s previously burgeoning circular debt, a news source reported. Additionally, the government further pledged to provide inexpensive electricity to the country’s citizens by 2023.
The minister made these comments while speaking at a news conference, where he was also accompanied by Special Assistant to the Prime Minister on Power Division Shahzad Qasim.
As per the new agreements, the IPPs have agreed to decrease their charges under the 1994 and 2002 power policies. Reportedly, their previous pricing policies had resulted in increasing the cost of electricity, and had also affected national exports — prompting the government to take appropriate action.
During his announcement, the information minister further stated that the government had formed a committee on IPPs and power issues, and that the group had recently submitted its report on the subject. He also revealed that, in the future, the government would be focusing on decreasing costs of distribution and transmission of power.
