KARACHI:  President Karachi Chamber of Commerce & Industry (KCCI) Iftikhar Ahmed Sheikh, while referring to his discussions with industrial town associations in connection with delays in release of funds against incremental consumption of electricity during COVID-19 pandemic, urged the government to immediately release the remaining amount of Rs33 billion to Karachi industries so that their grievances could be minimized to some extent.

“KCCI has been constantly raising this particular issue and it has been assured by the policymakers on various occasions that the funds had already been allocated against incremental consumption which would be released to industries of Karachi soon but unfortunately, this pressing issue stands unresolved to date, triggering a lot of anxiety amongst business community, he added in a statement issued today.

Sheikh noted that a total of Rs42 billion was to be released under incremental consumption package announced to support industries which suffered grave losses due COVID-19 pandemic but, unfortunately, around Rs7 to 9 billion were released only whereas a huge amount of Rs33 billion stands pending to date. “Under the incremental package, the funds payable to industries of Karachi for 2021-22 stood at Rs22 billion, followed by Rs13 billion for 2022-23 and Rs7 billion for 2023-24.” He said that it was really unfortunate that these funds had been fully released all over the country except Karachi which was a sheer injustice to a city contributing more than 68 percent in terms of revenue and 54 percent plus in terms of exports despite facing a lot of challenges, particularly the unbearably high cost of doing business that has brough large number of industries, particularly the SMEs at the verge of collapse.Keeping in view the government’s seriousness towards revival of economy and the assurances for an enabling business environment, the President KCCI hoped that PM Shehbaz Sharif, who always responds affirmatively to numerous issues highlighted by KCCI, would once again come forward to rescue the business community of Karachi which has been facing severe hardships because of unwarranted delays in release of funds against incremental consumption. 

“PM Shehbaz Sharif and Minister for Energy Sardar Awais Ahmed Khan Leghari must intervene in this matter by strictly ordering K-Electric to immediately release these pending funds which would prove certainly favorable for the economy,” he concluded.