Islamabad, October 10, 2024 – Prime Minister Shehbaz Sharif has announced the termination of agreements with 5 Independent Power Producers (IPPs) in the first phase. This decision is expected to benefit electricity consumers with an annual saving of PKR 60 billion and lead to a reduction in per-unit electricity prices. Overall, it will save the national treasury PKR 411 billion.
Speaking during a federal cabinet meeting, Shehbaz Sharif stated that, by the grace of God, the country’s economy is rapidly moving towards stability. The Prime Minister said that in the first phase, they are ending electricity purchase agreements with 5 IPPs, which will save PKR 60 billion annually for consumers and PKR 411 billion for the national treasury. Shehbaz Sharif appreciated that the owners of the 5 IPPs prioritized national interest over personal gain and agreed voluntarily to terminate these agreements. He acknowledged their key role in initiating public relief and expressed gratitude, on behalf of himself and the entire cabinet, towards these IPP owners.
He further stated that agreements with other IPPs will be gradually reviewed to lower electricity tariffs. Record-breaking quarterly remittances indicate the growing confidence of overseas Pakistanis.
Shehbaz Sharif remarked that the common man has faced immense challenges, including inflation, and thanked the public for their patience in enduring hardships. He acknowledged that difficulties are not yet over, and the situation is far from ideal, unlike the rosy promises made by previous heartless rulers who dismissed concerns about inflation. He emphasized that Pakistan is progressing, and the journey ahead must be pursued swiftly.