ISLAMABAD: The Pakistan government has decided in principle to increase electricity tariff by an average Rs2.5 per unit from next month to offset power subsidies by about Rs100 billion.A finance ministry official said here on Friday that authorities in the power sector had been asked to work out a tariff increase which would not affect domestic sector consumers using 100 units a month,true religion outlet, put a low burden on those using up to 300 units and gradually increase rates for higher-slab residential,burberry outlet, commercial,nike air max trainers, industrial and agricultural consumers. The guiding principle for tariff adjustment is to raise average tariff by about Rs2.5 per unit from the current average applicable rate of Rs8.81 per unit to reduce the gap,burberryoutletbvs, said the official. According to him,Isabel Marant Shoes, the current gap stood at about Rs5.9 per unit after a recent tariff determination by the National Electric Power Regulatory Authority (Nepra) that put the average tariff at Rs14.7 per unit.A Nepra official said the annual impact of about Rs6 per unit difference between applicable tariff and Nepra determined tariff meant was Rs250 billion. He agreed that the Rs2.5 per unit average tariff increase would translate into Rs100 billion. He said that Nepra had determined a tariff increase but had nothing to do with its recovery. It is within the jurisdiction of the government to notify any tariff adjustment as it may deem fit keeping in mind its socio-political objectives,chloe bags, he said.The detailed tariff schedule would be prepared by the power ministry to be cleared by the prime minster. The consumer category and slab wise changes in tariff would need a couple of weeks to be finalised. The tariff for high consumption consumers would be kept on the higher side,oakley outlet, not only to discourage consumption as a demand side management but also to cross subsidise lower segments.The federal cabinet has already approved scaling down inter-distribution company tariff differential to Rs150bn next year from its current year level of Rs250 billion. Likewise,Cheap true religion jeans, the subsidy for agricultural tubewells in Balochistan would also be reduced from Rs5 billion to Rs3.1 billion.On the same pattern,ghd, the tariff differential subsidy would also be reduced by about 34.5 per cent to Rs55 billion next year from its current year revised estimate of Rs84.3 billion. This would also be achieved by increasing consumer tariff in line with tariff increase for Wapda consumers.The overall tariff subsidies have been proposed to be brought down to Rs220 billion next year from the revised estimate of Rs350bn for the current year. Internews
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