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Minister Ali Pervez Malik Addresses Energy Crisis and Economic Reforms
Minister Ali Pervez Malik highlights the urgent need for lasting reforms in Pakistan's energy sector, criticizes current electricity tariffs, and outlines efforts to digitize the tax system to broaden the tax base.
ND
by News Desk
2024-07-24
Minister Ali Pervez Malik Addresses Energy Crisis and Economic Reforms

Ali Pervez Malik, the Minister of State, has shed light on Pakistan’s ongoing energy crisis and the broader economic reforms needed to address it. Speaking recently, Malik emphasized that current electricity tariffs are unsustainable, citing the example that a shop cannot operate on electricity priced at Rs 60 per unit and a house cannot sustain itself at Rs 40 per unit.

 

Malik acknowledged the government's efforts to alleviate the burden on consumers, particularly the Prime Minister's allocation of Rs 50 billion to provide relief for those using up to 200 units of electricity. However, he stressed that temporary relief measures are not enough. The key to long-term solutions lies in implementing substantial reforms within the energy sector.

 

The minister highlighted the historical context of Independent Power Producers (IPPs) established in 1994, 2002, and 2014, noting that the share of people from the 1994 and 2002 IPPs amounts to Rs 80 billion. He called for an investigation into any potential illegal trading associated with these IPPs to ensure transparency and accountability.

 

Malik also pointed out the need to address issues related to various power plants, including government-owned, coal, RLNG, and Chinese-financed plants. He suggested that effective communication with these stakeholders is crucial for resolving ongoing energy issues.

 

On a different front, Malik discussed the government's plan to digitize the Federal Board of Revenue (FBR) system. He stated that this initiative is expected to bring approximately 4 to 5 million new individuals into the tax net, thereby broadening the tax base and improving revenue collection.

 

Malik concluded by acknowledging the limitations of available resources but expressed confidence in the government's ability to implement these reforms and address the energy crisis effectively.

 
Tagged:

TaxReforms

EconomicDevelopment

EnergyReform

PakistanEnergyCrisis

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