ECC increases subsidy on sugar to Rs5 per kg
Also approves import of additional 150,000 tonnes of Urea fertilizer for Kharif season
Finance Minister Ishaq Dar presides the ECC meeting of the Cabinet in Islamabad on Thursday, May 21, 2015. PHOTO: PID
ISLAMABAD:
The Economic Coordination Committee (ECC) of the Cabinet on Thursday approved an increase in the amount of subsidy on sugar from Rs3 to Rs5 per kg, Radio Pakistan reported.
The ECC meeting was held in Islamabad on Thursday with Finance Minister Ishaq Dar in the chair.
The Ministry of Industries and Production had requested an increase in the subsidy for the month of Ramazan facilitating the Utility Stores Corporation to sell sugar to customers at economical rates.
Read: ECC approves fifth mini budget, imposes 2.5% regulatory duty on petroleum products
The decision would add about Rs100 million to the amount of subsidy already approved.
Urea import approved
The committee on Thursday approved a proposal moved by the production ministry for the import of an additional 150,000 tonnes of Urea for the Kharif season.
In its meeting on April 23, the body had allowed import of 100,000 tons of Urea.
The meeting decided that additional import had been allowed to bridge the demand and supply gap and build up sufficient buffer stock.
The ECC had detailed deliberations on proposal submitted by Ministry of Water and Power on Tariff and subsidy rationalisation and approved that the current notified average consumer tariff rate along with its components and surcharges, will be maintained so the total average national tariff will not increase.
The government will continue to subsidise the domestic consumers (up to 300 units) and agriculture consumers, and continue to pass on the full cost of service as determined by NEPRA.
The ECC also considered the proposal submitted by Ministry of Water and Power that full benefit of all negative adjustment on account of monthly FCA will be passed on to all consumers except those who have subsidized electricity tariff. This will ensure that the cost reduction benefits will be passed on to the consumers who are paying higher cost of electricity.
The Economic Coordination Committee (ECC) of the Cabinet on Thursday approved an increase in the amount of subsidy on sugar from Rs3 to Rs5 per kg, Radio Pakistan reported.
The ECC meeting was held in Islamabad on Thursday with Finance Minister Ishaq Dar in the chair.
The Ministry of Industries and Production had requested an increase in the subsidy for the month of Ramazan facilitating the Utility Stores Corporation to sell sugar to customers at economical rates.
Read: ECC approves fifth mini budget, imposes 2.5% regulatory duty on petroleum products
The decision would add about Rs100 million to the amount of subsidy already approved.
Urea import approved
The committee on Thursday approved a proposal moved by the production ministry for the import of an additional 150,000 tonnes of Urea for the Kharif season.
In its meeting on April 23, the body had allowed import of 100,000 tons of Urea.
The meeting decided that additional import had been allowed to bridge the demand and supply gap and build up sufficient buffer stock.
The ECC had detailed deliberations on proposal submitted by Ministry of Water and Power on Tariff and subsidy rationalisation and approved that the current notified average consumer tariff rate along with its components and surcharges, will be maintained so the total average national tariff will not increase.
The government will continue to subsidise the domestic consumers (up to 300 units) and agriculture consumers, and continue to pass on the full cost of service as determined by NEPRA.
The ECC also considered the proposal submitted by Ministry of Water and Power that full benefit of all negative adjustment on account of monthly FCA will be passed on to all consumers except those who have subsidized electricity tariff. This will ensure that the cost reduction benefits will be passed on to the consumers who are paying higher cost of electricity.