Massive electricity price increase adds to inflation-hit Pakistanis woes

[epebble]

ISLAMABAD – Pakistani government has added to the woes of inflation-weary people already bearing the brunt of record inflation by approving a massive increase in base tariffs of electricity.

Federal cabinet gives final nod with a circulation summary after Nepra proposed to raise electricity prices earlier this month.

With the latest surge, the base tariff of electricity increased by up to Rs7.50 per unit, which will add thousands in electricity bills every month.

The top slab of tax increase is for those power consumers who are using between 450-700 units per month. The new rates will take effect from July 1 as government issues a notification following a decision by National Electric Power Regulatory Authority.

The recent taxes allowed the government to shift the burden of power subsidy as IMF called on the government to raise power tariff along with other measures.

View attachment 940368

Massive electricity price increase adds to inflation-hit Pakistanis woes - Pakistan Observer

ISLAMABAD – Pakistani government has added to the woes of inflation-weary people already bearing the brunt of record inflation by approving a massive increase in base tariffs of electricity. Federal cabinet gives final nod with a circulation summary after Nepra proposed to raise electricity...

pakobserver.net

The government continues to make electricity more expensive for the consumers. The government will not stop spending billions on buying new cars and giving electricity for free to numerous corrupt LESCO officers but will transfer this cost to general consumers.

Many had to pay hefty sums to LESCO in the previous year. Now people know better and have reduced use of AC in summer so the government continues to make electricity more expensive for the masses. This damned country is being run to serve the privileged few.

From https://pakobserver.net/how-much-electricity-base-tariff-hike-will-increase-monthly-bills/

After the recent increase, the base tariff will be Rs29.78 per unit. That is about $0.1 per kWh. Cheapest electricity in USA costs $0.1 per kWh. So, the problem is not really electricity costs are high, but it is unaffordable due to low income. Electricity can't be magically produced cheaply since fuel has to be imported, capital equipment is imported and hence inputs will all be at international costs. Labor cost is minimal in electricity generation and hence Pakistan's lower labor costs will not be of much help. Definitely, there is room for improvement and reduction in wastage and pilferage etc. but crying hoarse that electricity is expensive is not going to solve any problem.

But why not Pakistanis don't go for roof top solar? I got a 5 kw solar plant for my farm house in India. I got it for 2.6 lakhs INR after subsidy. It generates on average 620 units a month. It is grid connected so I am selling my excess power back to grid. I don't have to worry about monthly power bills ever. Although electricity is not that unaffordable even through the grid.

What was the subsidy? After the subsidy, the investment looks attractive. About $3,000 investment is generating about $600 of electricity per year. What is the life of your rooftop hardware? I think it is longer than 5 years.

 

[S.Y.A]

Dont let them divert your attention from the real reason of high electricity bills: theft & pathetic bill collection"

politically motivated connections to areas of MNAs/MPAs/influential people plays some part in this as well. add to that the line-losses in distribution and transmission due to old, degraded infrastructure and this is what u get.

but no one wants to do the hard-work, no one wants to improve the overall system, this is teh easy way out. jackasses even increased the development budget from 700 billion to 1000 billion, because its the election year. they gave executive allowances upto 100percent of basic pay to civil servants and ex-cadre employees of ministries and attached departments to buy loyalties. in face of all of this haramkhori and ayyashi, the awam has to pay the price.

 

[LeGenD]

politically motivated connections to areas of MNAs/MPAs/influential people plays some part in this as well. add to that the line-losses in distribution and transmission due to old, degraded infrastructure and this is what u get.

but no one wants to do the hard-work, no one wants to improve the overall system, this is teh easy way out. jackasses even increased the development budget from 700 billion to 1000 billion, because its the election year. they gave executive allowances upto 100percent of basic pay to civil servants and ex-cadre employees of ministries and attached departments to buy loyalties. in face of all of this haramkhori and ayyashi, the awam has to pay the price.

LESCO is the most corrupt department, it does nothing to improve its infrastructure. There is no accountability of this department either.

 

[PradoTLC]

ISLAMABAD – Pakistani government has added to the woes of inflation-weary people already bearing the brunt of record inflation by approving a massive increase in base tariffs of electricity.

Federal cabinet gives final nod with a circulation summary after Nepra proposed to raise electricity prices earlier this month.

With the latest surge, the base tariff of electricity increased by up to Rs7.50 per unit, which will add thousands in electricity bills every month.

The top slab of tax increase is for those power consumers who are using between 450-700 units per month. The new rates will take effect from July 1 as government issues a notification following a decision by National Electric Power Regulatory Authority.

The recent taxes allowed the government to shift the burden of power subsidy as IMF called on the government to raise power tariff along with other measures.

View attachment 940368

Massive electricity price increase adds to inflation-hit Pakistanis woes - Pakistan Observer

ISLAMABAD – Pakistani government has added to the woes of inflation-weary people already bearing the brunt of record inflation by approving a massive increase in base tariffs of electricity. Federal cabinet gives final nod with a circulation summary after Nepra proposed to raise electricity...

pakobserver.net

The government continues to make electricity more expensive for the consumers. The government will not stop spending billions on buying new cars and giving electricity for free to numerous corrupt LESCO officers but will transfer this cost to general consumers.

Many had to pay hefty sums to LESCO in the previous year. Now people know better and have reduced use of AC in summer so the government continues to make electricity more expensive for the masses. This damned country is being run to serve the privileged few.

ah.... the wonderful governance of PDM...

 

[S.Y.A]

LESCO is the most corrupt department, it does nothing to improve its infrastructure. There is no accountability of this department either.

all govt distro companies are like this.

 

[Communism]

From https://pakobserver.net/how-much-electricity-base-tariff-hike-will-increase-monthly-bills/

After the recent increase, the base tariff will be Rs29.78 per unit. That is about $0.1 per kWh. Cheapest electricity in USA costs $0.1 per kWh. So, the problem is not really electricity costs are high, but it is unaffordable due to low income. Electricity can't be magically produced cheaply since fuel has to be imported, capital equipment is imported and hence inputs will all be at international costs. Labor cost is minimal in electricity generation and hence Pakistan's lower labor costs will not be of much help. Definitely, there is room for improvement and reduction in wastage and pilferage etc. but crying hoarse that electricity is expensive is not going to solve any problem.


What was the subsidy? After the subsidy, the investment looks attractive. About $3,000 investment is generating about $600 of electricity per year. What is the life of your rooftop hardware? I think it is longer than 5 years.

Most of the U.S.'s "lowest power cost areas" are all subsidized renewables that heavily pollute market data.


If you remove all the areas which have large amounts of subsidized renewables, you have a cost of electricity that is much, much higher.

Average energy prices for the United States, regions, census divisions, and selected metropolitan areas : Midwest Information Office : U.S. Bureau of Labor Statistics

www.bls.gov

And this is with some of the lowest unsubsidized natural gas and coal prices in the world.


The real problem is that Pakistan has subsidized the cost of living for far too long, which has led to an enormous percent of the population consuming way more than they produce in terms of value.

Pakistan Population 1950-2023

Chart and table of Pakistan population from 1950 to 2023. United Nations projections are also included through the year 2100.

www.macrotrends.net

 

[SaadH]

But why not Pakistanis don't go for roof top solar? I got a 5 kw solar plant for my farm house in India. I got it for 2.6 lakhs INR after subsidy. It generates on average 620 units a month. It is grid connected so I am selling my excess power back to grid. I don't have to worry about monthly power bills ever. Although electricity is not that unaffordable even through the grid.

Because we don't manufacture panels locally as it doesn't provide financial windfall to the criminal triade of politicians, bureaucrats and generals in terms of commission that expensive imports do. Hence the consumer/public is stuck with only very expensive options.

 

[Communism]

Because we don't manufacture panels locally as it doesn't provide financial windfall to the criminal triade of politicians, bureaucrats and generals in terms of commission that expensive imports do. Hence the consumer/public is stuck with only very expensive options.

Solar panels are not and will never be cheaper to produce anywhere other than China.


Labor is a very low percent of the cost of production for solar panels.


The vast majority of the labor cost in solar is in installation.

 

[SaadH]

Solar panels are not and will never be cheaper to produce anywhere other than China.


Labor is a very low percent of the cost of production for solar panels.


The vast majority of the labor cost in solar is in installation.

In the first world country where you are residing, labor is expensive, whereas in Pakistan it is cheap, even cheaper than China. The biggest cost for the consumer are the panels.

 

[my2cents]

just burn down power station.

That will only agravate your current situation.

 

[Azadkashmir]

That will only agravate your current situation.

ppl will be happy in the long run it not their fault they are uneducated baboons.

 

[Communism]

In the first world country where you are residing, labor is expensive, whereas in Pakistan it is cheap, even cheaper than China. The biggest cost for the consumer are the panels.

Production of Solar Panels perfectly synergizes with China's industrial manufacturing strengths.


The only products that are economical to produce outside of China are products that have a relatively high portion of the manufacturing cost being labor cost.


Solar Panels will never be cheaper to produce anywhere outside of China.


To make it simple for you.


The entire labor cost portion of the production of a solar panel is less than the advantage China has in cost of production in the other portion of the cost of production.


Even if labor were 100% free, there are zero other countries in the entire world in which solar panels would be cheaper to produce outside of China.


China is also the leader in the current technology in Solar Panels as well as Research and Development of future Solar Panels.


The U.S. had to put a 250% tariff on Chinese solar panels to even cajole any U.S. producer into theoretical existence.


And this was after hundreds of billions of dollars in subsidies not being enough to do so.

 

[Vortex]

ISLAMABAD – Pakistani government has added to the woes of inflation-weary people already bearing the brunt of record inflation by approving a massive increase in base tariffs of electricity.

Federal cabinet gives final nod with a circulation summary after Nepra proposed to raise electricity prices earlier this month.

With the latest surge, the base tariff of electricity increased by up to Rs7.50 per unit, which will add thousands in electricity bills every month.

The top slab of tax increase is for those power consumers who are using between 450-700 units per month. The new rates will take effect from July 1 as government issues a notification following a decision by National Electric Power Regulatory Authority.

The recent taxes allowed the government to shift the burden of power subsidy as IMF called on the government to raise power tariff along with other measures.

View attachment 940368

Massive electricity price increase adds to inflation-hit Pakistanis woes - Pakistan Observer

ISLAMABAD – Pakistani government has added to the woes of inflation-weary people already bearing the brunt of record inflation by approving a massive increase in base tariffs of electricity. Federal cabinet gives final nod with a circulation summary after Nepra proposed to raise electricity...

pakobserver.net

The government continues to make electricity more expensive for the consumers. The government will not stop spending billions on buying new cars and giving electricity for free to numerous corrupt LESCO officers but will transfer this cost to general consumers.

Many had to pay hefty sums to LESCO in the previous year. Now people know better and have reduced use of AC in summer so the government continues to make electricity more expensive for the masses. This damned country is being run to serve the privileged few.

This is good ! Pakistani deserve even worst than that ! Hope that will open their eyes ! I’m really fed up of Pakistanis !

 

[Hero786]

Iss sari mehngaye ki wajah Chusky hai

 

[PakCan]

They are increasing the rate in the summer months because they know this awam will not do anything. I only feel bad for people below the poverty line in Pakistan, rest are paying for their cowardliness. They deserve this government and traitor generals.