SC takes notice of electricity price hike

Published: October 1, 2013
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Increase also challenged in Lahore High Court; PPP submits a motion at the Punjab Assembly. PHOTO: FILE

Increase also challenged in Lahore High Court; PPP submits a motion at the Punjab Assembly. PHOTO: FILE

LAHORE: The Supreme Court on Tuesday took notice of the recent increase in electricity tariff, Express News reported.

A three-member bench headed by Chief Justice Iftikhar Muhammad Chaudhry asked the government to submit the new tariff notification to the court.

Commenting on the issue, the chief justice said only the poor segment of the society will suffer from the price hike, adding that the government should focus on recovering dues rather than increasing rates.

Lahore High Court

The increase in petrol and electricity tariffs were challenged in the Lahore High Court on Tuesday.

Advocate Masiur Rahman Chaudhry filed a petition at the Lahore High Court demanding that the increase in the petrol and electricty tariffs be declared illegal.

He stated that in the international market the oil prices are decreasing whereas in Pakistan the opposite is happening.

“The Indian government decreased the petrol price yesterday as well.”

He further said, “the government is increasing the prices because of personal gains and putting the average citizen in a state of complete misery”.

The hearing of this case will be held tomorrow (October 2).

Punjab Assembly 

Pakistan’s Peoples Party has also submitted a motion at the Punjab Assembly regarding the price hikes.

New tariff 

On September 30, the pain of higher electricity tariffs – by as much as 30% – was compounded by a 4.2% oil price hike, sending the average citizen into deep economic shock.

The latest surge in power tariff is set to impact domestic consumers with those using 200-300 units facing a 72.6 per cent increase in rates from Rs8.11 to Rs14 per unit.

Similarly, consumers using 201-300 units per month across the country and 301-700 units of electricity will now face a 30% increase in the power rate from Rs12.33 per unit to Rs 16 per unit.

Worst hit still are those high end consumers who use more than 700 units of electricity per month. With a withdrawal of concessionary rates at lower slabs, such high end consumers will now have to pay Rs18 per unit instead of Rs15.07 per unit starting this month.

The new rates, to be effective from October 1 (today), come as the government stringently follows the structural reforms agreed with the International Monetary Fund (IMF) against the Extended Fund Facility loan amounting to $6.67 billion.

Oil prices increased

The government on September 30 increased the price of petrol by Rs4.12 per litre and High Speed Diesel by Rs4.69 per litre.

Petrol price has been increased to Rs113.24 per litre from Rs109.13, while the price of high-speed diesel, which is mostly used in cargo and passenger vehicles as well as in agriculture, has been increased to Rs116.95 per litre from the existing Rs112.26.

Meanwhile, an official has said that the prime minister has approved a subsidy of Rs 2 per litre on High Speed Diesel (HSD) and petrol to provide relief to consumers.

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Reader Comments (15)

  • Usman
    Oct 1, 2013 - 12:56PM

    LHC Building looks beautiful :)

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  • Rafique Khan
    Oct 1, 2013 - 1:17PM

    We Pakistanis are sleeping and not giving any tough time to the Government. The PML (N) Government is failed and has no any know how to run the country. The economy of the country is at its worst and day by day worsening. The economy of the country is at the brink of disaster.

    I will never forget the same Nawaz Sharif was delivering his speech during election campaign and after making his face like he is weeping for the common people of Pakistan. He used to say Aam Admi Ka bura haal hai is mulk me log khudkushiyan karne par majboor hain.

    Where is that Nawaz Sharif we need the same Nawaz Sharif. Where is he now.

    The people of Pakistan must wait till his arrival at the Airport and make an arrangement for warm welcome for him like Irani people did with their President when he reached to his homeland after attending UNO meetings.

    This Government is adding fuel to the fire for common and down trodden people of Pakistan. Creating problems for business class. Creating good environment for plunderer and corrupt classes.

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  • Chouhdary
    Oct 1, 2013 - 1:21PM

    It is astonishing to see the way government is putting pressure on the low income class of the country. This price hike cannot be justified in any way. China is offering cheap electricity, coal can be used to generate electricity, nuclear energy is quite economical, but still running those rental power plants. That is insane by the government policy makers. Printing too much money, causing inflation and exchange rate to depreciate, and making conditions difficult for the industry and investment, the gifts of the current government!

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  • AWAM
    Oct 1, 2013 - 1:29PM

    Great………………………………..!

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  • Parvez
    Oct 1, 2013 - 1:30PM

    …..and Gillani, Raja and their boss are still not behind bars.

    Recommend

  • The Failed Rebel
    Oct 1, 2013 - 2:08PM

    Time for a revolution?
    Side with them Pakistanis! Let your demands be known, back them up with your word and hand. It’s time our rulers taste the bitter side of people.
    Bring them to the streets and drag them by their hair. These rulers don’t even deserve oxygen let alone the castles they dwell in!
    ET Moderators please stop censoring my messages.

    Recommend

  • asim
    Oct 1, 2013 - 2:09PM

    Sale the assets of Nawaz and zardari to pay any loss

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  • JA
    Oct 1, 2013 - 3:31PM

    SC is used to just create ripples, and then let it settle by its own without taking any corrective measure, so nothing is going to change this time too, be patient, after all we invited the lion ourselves

    Recommend

  • Haseeb
    Oct 1, 2013 - 4:06PM

    dekho dekho kon aya….where is the experienced team which was to steer Pakistan out of crisis and relieving the common man of his miseries

    Recommend

  • Shahrukh
    Oct 1, 2013 - 4:40PM

    It is so sad to see that the people of Pakistan fail to appreciate basic common sense. They see an issue and debate without considering it’s ramifications and it’s impact within the wider picture. The main problems derived from this article are;

    Over active Supreme Court that does no practice the separation of powers policy
    Inefficient use of resources (Judicial, Media, Human etc.)
    Instead of bickering on redundant matters, accept the reality.
    Major stakeholders must come to a consensus and work together for a collective future.

    The final comment is that the problem of Pakistan lies with our governmental structure which is an amalgamation of Democracy, Capitalism and “Retardism”. The practical and logical solution is to modify the system to an Islamic System which is the solution to all the problems. Let me point out though, there is no Islamic System in the world as we speak, I refer to the system pre 1925 which existed prior to the destruction of the Caliphate.

    All things said, Allah Knows Best. Salaam

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  • suzo
    Oct 1, 2013 - 5:48PM

    no increase in salaries of civil servants just increase the prices. . This is NS’ league policy

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  • Muhammad Saim
    Oct 1, 2013 - 7:54PM

    It seems no one is doing its job but more interested in others domain. SC doing prime politicians job instead of disposing millions of pending cases of ordinary citizens, Politicians doing administration instead of monitoring bureaucrats, bureaucrats in turn busy in pleasing the politicians instead of tax payers their paymasters in fact, and taxpayers wondering….bijli kab aaey gi !!

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  • Gp65
    Oct 1, 2013 - 8:57PM

    ETBLOGS1987

    @Chouhdary:
    The price hike will spare most of the poor and lower middle class consumers since it is only meant for people who consume above a certain level. The existing price structure where consumers pay less than the cost of generation led o the circular debt and will lead o circular debt being created once more unless te root cause is addressed. In the short turn it has to be reduction in subsidy through true costs being passed on to customers and in medium term it has o be through lowering cost of generation by reducing dependence on oil based electricity generation.

    As an Indian, I do not support any party in Pakistan and this is just a neutral observation.

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  • Sabih Shad
    Oct 1, 2013 - 9:46PM

    Act against higher prices to ensure higher shortages.

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  • Dr Aslam Butt
    Oct 3, 2013 - 3:34PM

    Middle class being diminished. Can some one care for them? Is this the way to improve country’s economy? I never thought that PML(N) would implement such plans.

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