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ISLAMABAD, Jul 24 (APP):Federal Minister for Energy, Sardar Awais Ahmed Khan Leghari said on Thursday that the federal government has firmly opposed K-Electric’s petition seeking a 13.9% increase in electricity tariffs for Karachi consumers, calling the proposed hike unjustified and detrimental to public welfare.
Responding to a calling attention notice moved by MQM Senator Faisal Subzwari in the Senate, Leghari underscored the government’s clear stance against the tariff hike, advocating instead for a reduction to eight or nine percent. “We believe the tariff should be reduced to eight or nine percent,” he asserted, emphasizing the need to protect consumers from further financial strain amid rising energy costs.
The minister revealed that a tariff reduction could save consumers an estimated Rs 6,500 billion over the next seven years.He also noted that this is the first time such a tariff proposal has been formally challenged, marking a significant shift in regulatory oversight.
Leghari further criticized K-Electric’s request to recover defaulted amounts from honest consumers, labeling the move as inequitable. He highlighted that the federal government had already paid Rs 175 billion in tariff differential subsidies to K-Electric during the last fiscal year to maintain affordability and ensure uninterrupted power supply.
The government’s opposition signals a strong commitment to consumer rights and affordability, as NEPRA continues to review the petition and its implications for Karachi’s residents.
He also revealed that Rs100 billion in overbilled amounts has been refunded to consumers.
He said government has achieved a record reduction of Rs191 billion in power sector losses with reforms, he also revealed that Rs100 billion in overbilled amounts has been refunded to consumers.
Earlier, MQM Senator Faisal Subzwari raised concerns over the alleged recovery of line losses from honest consumers, questioning whether the National Electric Power Regulatory Authority (NEPRA) had held any public hearings before permitting such recoveries. He accused NEPRA of allowing K-Electric to pass on the burden of losses to consumers without following due regulatory process.
In response, Federal Minister for Energy Sardar Awais Ahmed Khan Leghari rejected the allegations, clarifying that Senator Faisal Subzwari was referring to an audit report from the previous government.
Leghari assured the Senate that the current administration is committed to safeguarding consumer rights. He emphasized that the government’s ongoing reforms have already led to significant financial improvements and tangible relief for electricity consumers across the country.