Islamabad: Federal Minister Ishad Dar has said that government will facilitate exporters to maintain power tariff at agreeable rates. Addressing a news conference here on Thursday after a meeting with members of the All-Pakistan Textile Mills Association (APTMA) – one of the major exporters of the country, Dar said that the prime minister had committed to maintaining the rate for the ongoing fiscal year, the government would not renege on this commitment.
Dar added that the exporters were concerned about what would happen to the power tariff given the government had promised them to provide power at a fixed rate of 9 cents per kilowatt per hour (kWh) all-inclusive.
However, he said that he had convinced the exporters that this rate would now be counted in rupees rather than dollar terms and that the rate would now be fixed at Rs19.99 all-inclusive. He added that this would come to about Rs90-Rs100 billion per year power subsidy.
Asked whether this would qualify as a violation of the terms of the bailout package provided by the International Monetary Fund (IMF), Dar said that if they ask, he will speak to them but he did not need their permission as he had the documentation to back the move.
The meeting came after reports that the government may step back from its commitment after just one quarter. However, Dar dispelled fears and stated that the rates have now been fixed for the remainder of the year.
Asked if the new rate would apply just to textiles, Dar clarified that the rate would apply to all the five export sectors of the country.
