Islamabad, January 8, 2025: Federal Minister for Power Awais Leghari has announced that electricity prices have been reduced, with further cuts anticipated. Revised agreements with 15 more Independent Power Producers (IPPs) will be presented at the next federal cabinet meeting.
Following the National Assembly’s Standing Committee on Power meeting, Leghari revealed that the government has saved Rs 1,100 billion through negotiations with IPPs and plans to begin talks with government-owned power plants next. “All IPP agreements will be reviewed to ensure substantial public savings,” he said.
Regarding K-Electric’s multi-year tariff proposal, Leghari criticized the company’s high demand, calling for significantly lower rates. He expressed confidence that NEPRA would prioritize public interest in its decision.
Leghari also highlighted a recent meeting with the Chief Minister of Khyber Pakhtunkhwa on curbing illegal electricity connections (kunda culture). He criticized the Chief Minister’s inadequate efforts in addressing the issue.
As part of its economic reforms, the federal government has revised costly agreements with several IPPs, introduced measures to reduce circular debt, and initiated efforts to control line losses.
Leghari emphasized the government’s goal to resolve the energy crisis within four years. He noted that industrial electricity prices have dropped from Rs 58.50 per unit to Rs 47.17, reducing the annual cross-subsidy burden on industries by Rs 150 billion.
