power subsidy breakdown??

[xenia]

is it just a political statement or holds some weight?(the bold part below)
can anyone plz provide how subsidies provided to power sector (pepco, nepra, wapda) are broken?

IMF calls for debate on reforms in Pakistan


By Anwar Iqbal

WASHINGTON, Oct 7: The International Monetary Fund urged Pakistan on Thursday to hold a national debate on economic reforms and take some difficult political decisions to implement them.

Adnan Mazarei, IMF Mission Chief to Pakistan, also warned that Pakistan’s next budget would have to be adjusted to deal with the consequences of the recent floods that devastated the country’s economy, reducing its growth estimates from above four per cent of the GDP to about two per cent.

Stressing the need for economic reforms, Mr Mazarei noted that last year Pakistan spent $2 billion on power subsidies which only benefited big corporations and the rich.

He instead urged the country to withdraw the subsidies given to the rich and introduce “very low electricity rates” for the poor.

Similarly, he said, Pakistan only taxed the poor while ignoring the rich and this would have to change as well.

One example, he said, was that of the subsidies given to big corporations like the railways, airlines and the steel mill



IMF calls for debate on reforms in Pakistan

 

[Von Hölle]

^^I thought with increase of 6% + 12% + 6% increase in Electricity prices in last one year power subsidies were on the their death bed..but then I guess not..what is the per unit price for electricity in Pakistan.

 

[xenia]

^^I thought with increase of 6% + 12% + 6% increase in Electricity prices in last one year power subsidies were on the their death bed..but then I guess not..what is the per unit price for electricity in Pakistan.

well i recently read the expected increase in november ll raise the price to Rs. nine point something..
besides prices vary with units consumed..a bit lower for initial 100 units, increased for next 200 units n so on..besides there are other taxes n fees besides the unit charges ..i ll have to check the last bill

 

[xenia]

Charges to shoot up


By Ahmad Fraz Khan

LAHORE, Oct 5: With the government agreeing to end unified tariff under donordriven power sector reforms, domestic consumers, especially those consuming between 100 and 300 units, are likely to see their tariff increase further by Rs4.1 to Rs9.06 per unit.

According to the tariff determined by the National Electric Power Regulatory Authority (Nepra) for the third quarter (July-Sept) of the fiscal year 2010-11, only two per cent of which has been notified so far, domestic, industrial and commercial consumers are likely to see a steep rise in the tariff.

After the government stops determining tariff from July next year, the power rates will be decided by Nepra.

Because of the oil price factor and about 90 per cent increase in tariff enforced over the past one year, even lifeline consumers will see their tariff going up by 11 per cent.

DOMESTIC: According to the Nepra determination, the tariff for domestic consumers using up to 100 units will rise by Rs4.10 per unit in Lahore, Rs4.05 in Gujranwala, Rs3.80 in Faisalabad, Rs2.95 in Islamabad, Rs4.80 in Hyderabad, Rs4.80 in Quetta and Rs5.60 in Peshawar.

For consumers using between 101 and 300 units, the tariff will go up by Rs4.91 (44pc) per unit in Lahore, Rs4.61 (42pc) in Gujranwala, Rs4.66 (42pc) in Faisalabad, Rs3.66 (37pc) in Islamabad, Rs4.21 (40pc) in Multan, Rs4.66 (42pc) in Hyderabad, Rs4.66 (42pc) in Quetta and Rs9.06 (59pc) in Peshawar. Consumers using 301 to 700 units will see their tariff increase by Rs3.51 (26pc) per unit in Lahore, Rs3.26 (24pc) in Gujranwala, Rs3.01 (23pc) in Faisalabad, Rs1.76 (15pc) in Islamabad, Rs3.26 (24pc) in Multan, Rs2.51 (20pc) in Hyderabad, Rs2.26 (18pc) in Quetta and Rs5.95 (37pc) in Peshawar.

For consumers using more than 700 units, the tariff will rise by Rs2.73 (18pc) per unit in Lahore, Rs1.98 (13pc) in Gujranwala, Rs2.23 (15pc) in Faisalabad, Rs1.23 (9pc) in Islamabad, Rs2.73 (18pc) in Multan, Rs1.23 (9pc) in Hyderabad, Rs1.23 (9pc) in Quetta and Rs5.08 (28pc) in Peshawar.

INDUSTRY: The industry will take the second biggest hit with the tariff rising for both categories (B1 and B2). The tariff for B1 (up to 5KW) will increase by Rs1.10 (11pc) in Lahore, Rs1.10 (11pc) in Gujranwala, Rs1.80 (17pc) in Faisalabad, Rs1.60 (15pc) in Multan, Rs1.10 (11pc) in Hyderabad, Rs1.10 (11pc) in Quetta and Rs4.60 (34pc) in Peshawar.

The tariff for large industries in the B2 category (up to 500KW) will go up by Rs2.21 (23pc) in Lahore, Rs1.71 (19pc) in Gujranwala, Rs2.21 (23pc) in Faisalabad, Rs0.71 (9pc) in Islamabad, Rs2.21 (23pc) in Multan, Rs2.21 (23pc) in Hyderabad, Rs1.71 (19pc) in Quetta and Rs5.21 (42pc) in Peshawar.

COMMERCIAL: For commercial tariff, the increase determined by Nepra is Rs1.47 (11pc) for Lahore, Rs1.82 (13pc) for Gujranwala, Rs1.97 (14pc) for Faisalabad, Rs0.47 (4pc) for Islamabad, Rs2.97 (19pc) for Multan, Rs1.97 (14pc) for Hyderabad, Rs1.47 (11pc) for Quetta and Rs5.32 (30pc) for Peshawar.

 

[Von Hölle]

well i recently read the expected increase in november ll raise the price to Rs. nine point something..

This increase in prices was a one of the preconditions of IMF(for the bailout package).

besides prices vary with units consumed..a bit lower for initial 100 units, increased for next 200 units n so on..besides there are other taxes n fees besides the unit charges ..i ll have to check the last bill

That is true for every country..In India too, prices increase with Units..in fact first two hundred units are dirt cheap.

As far subsidies are concerned ..they should be completely removed (because it an uniform subsidy ..so the person using max no of units will get max amt of subsidy)..

Instead this staircase sys of pricing should be amended..to take max amount of money from high power consumers..and less from poor ..who'll use less electricity.

However this might have negative effect on the industries ..which tend to use more power.