FBATI president urges further power tariff cuts

Hussain believes this will enhance overall investment climate, attracting both local, foreign investors

KARACHI:

Federal B Area Trade and Industries (FBATI), President, Syed Raza Hussain stated that the decision to reduce the power tariff by 7 cents will provide some relief to industrial consumers nationwide. He praised the caretaker government for announcing the reduction of the power tariff from 16 cents per KWh to 9 cents per KWh and urged the upcoming government to further revise down the power tariff. This, he believes, will empower industries to significantly reduce their cost of doing business, enhancing industrial production for both local and export markets.

Hussain highlighted the need for uninterrupted electricity supplies to industrial consumers, fostering a positive and attractive business climate. This improvement, he argued, will enhance the overall investment climate, attracting both local and foreign investors.

Read Power tariff hike to dent trade, industry

The decision will also boost the competitiveness of local brands, supporting the growth of exports, especially benefiting SMEs, he added.

Rationalising the electricity tariff at the domestic level will aid power utilities in recovering bills and due payments from industrial customers on time. The burden of circular debts in the energy sector can be partially impacted positively, he further said. Raza also mentioned that the recent relief in petroleum prices has reduced logistics costs for industries, urging the government to further revise petroleum product prices at a domestic level.

Published in The Express Tribune, January 26^th, 2024.

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