ISLAMABAD: President Federation of Pakistan Chambers of Commerce and Industry (FPCCI), Atif Ikram Sheikh has said that there is need to review the agreements with Independent Power Producers (IPPs) immediately as if electricity price does not reduce, the industries would shut down.

President FPCCI in a statement on Sunday said that the government should make public the agreements with the IPPs and the agreements with the IPPs are reason for the expensive electricity in the country. He said that monthly Rs 150 billion are being paid to such IPPs which are producing lesser electricity.

Sheikh added that on the one hand circular debt of the power sector is increasing while on the other hand public is being burdened by expensive electricity.

FPCCI demands ‘forensic audit of IPPs’

He said that IPPs power plants are operating or running at less than 10 percent capacity and government is making full payment to them. President FPCCI further stated that in Pakistan living for the common man and doing business has become difficult due to the cost of electricity. “If electricity prices are not reduced, the country’s industries will be closed.”

He said that per unit cost of electricity in Pakistan is higher as compared to other countries in the region.

Copyright Business Recorder, 2024