From the removal of cross subsidy, the domestic consumers tariff will be increased.
Islamabad: Energy minsiter has started to work on tariff restructuring after the demand of International Monetary Fund (IMF) to remove the cross subsidy.
According to the details, in accordance with the ministry of energy under the power restructuring the cross subsidy will be removed because of the cross subsidy the industries are facing problems.
The power sectors’ collective subsidy is Rs976 trillion and cross subsidy is Rs592 trillion. From the removal of cross subsidy, the domestic consumers tariff will be increased.
Ministry of energy will put these suggestions before the government. After the approval it will be decided. The final decision regarding the subsidy will be taken after the approval of the prime minister and the cabinet.
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