ECC postpones decision on hike in prices of electricity

ISLAMABAD (92 News) – The Economic Coordination Committee (ECC) on Monday postponed a decision to increase the prices of electricity. Minister for Finance Asad Umar chaired an ECC meeting today which focused the decision of hike in the power tariff by Rs3.75 per unit. During the meeting, the minister underscored the need to improve the collection mechanism of outstanding payments of different departments. The summary regarding a hike in power tariffs was presented in the ECC meeting today, however, the surge in electricity rates has been postponed once again following an earlier delay in decision which was expected on October 16. According to summary prepared by the government on October 15, “Recommendations have been made for increase in prices for the years 2016-17 and 2017-18 as per which the price per unit is expected to rise to Rs3.75.” The summary also included arrears amounting to additional Rs400 billion to be collected from consumers every month. After an increase in the gas tariff, the government is likely to increase the prices of electricity by Rs3.81 per unit. ECC members deferred the decision on the matter and summoned a meeting on Wednesday (October 24) to discuss according approval for the increase in power tariff.