Karachi: Irfan Iqbal Sheikh President FPCCI decried ruthless and consultation-less consecutive increases in electricity tariff. It will force shut industry across Pakistan and break-even in current cost of doing business environment has become impossible. He maintained process which started 4 months back and will fully reflect in electricity bills in another 2 months means a cumulative increase of 70-80 percent, if all billing components are accounted for, i.e. base tariff, Sales Tax, Income Tax and Excise Duty.  Base tariff alone has been increased by Rs 9.80 per unit, reflecting an increase of 50 percent and all-inclusive cost per unit will be close to Rs 60. 

Government should be cognisant of fact that these are counterproductive and counterintuitive measures; as these kinds of electricity bills are not even payable or recoverable. Therefore, there are major defaults and bankruptcies on cards, he added.  He proposed in order to cope with double whammy of floods-related losses to SMEs, government must consider waiving electricity bills for 3 months. It will make it possible for SMEs to continue operating and generating jobs to level of pre-monsoon months of current calendar year.  He emphasised that this year we should aim for an export target of $ 37-38 billion however given current circumstances, it appears that we might not even be able to sustain FY22 level of $ 31.845 billion. 

Published in The Daily National Courier, September, 01 2022

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