Energy Minister Awais Leghari said that a new power tariff policy is expected to be announced soon by Prime Minister Shehbaz Sharif to enhance the competitiveness of local industries, according to Radio Pakistan.
Speaking at a workshop in Islamabad on Thursday, the minister said the government had reduced electricity tariffs for industrial consumers by over 30 per cent during the past year, with the aim of improving the business environment and supporting economic growth.
Leghari also shared the government’s plans to privatise power distribution companies, adding that the recent decline in line losses was an encouraging development.
Highlighting the shift towards cleaner energy, the minister said the government had recently shut down 3,000 megawatts of furnace oil-based power plants, calling it a significant step toward renewable energy adoption.
He further announced that around 27,000 agricultural tubewells in Balochistan would be converted to solar energy over the next two to three months, as part of ongoing efforts to promote sustainable energy solutions in the province.
Meanwhile, the International Monetary Fund (IMF) has urged Pakistan not to offer additional subsidies to the power sector in the upcoming federal budget for FY2025–26.
Sources told The Express Tribune that the global lender is pressing the government to empower the energy ministry to take effective measures to halt the accumulation of circular debt.
With the federal budget looming, the government has assured the IMF of sweeping economic reforms, including increases in fuel, electricity, and gas prices.
Officials say the government plans to implement a series of fiscal measures starting July 1, aimed at reducing the fiscal deficit and addressing the country’s mounting energy-sector debt.
