Plan includes weekly oil price reviews, public holidays and work-from-home measures
To cover the losses, successive governments increased electricity prices and imposed a surcharge of Rs 3.23 per unit to repay debts incurred with power distribution companies, pushing power prices to the highest levels in the region. Photo: file
Faced with the possible closure of the Strait of Hormuz and fears of an energy crisis, the federal government finalized an energy saving plan on Friday.
According to sources, a new pricing mechanism has been approved to reduce the demand for petroleum products and Regasified Liquefied Natural Gas (LNG), under which the prices of petroleum products will be revised every week. Sources say that in the first phase, the number of public holidays will be increased based on the model adopted during the COVID-19 pandemic.
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In addition, the government has prepared a strategy consisting of the first, second and third phases, which includes three to four dozen proposals.
In the first phase, the government will implement measures in the public sector, while in the second phase, an online assignment system will be introduced in private schools, universities and hospitals; at the same time, the prices of petroleum products will also be revised every week.
In view of the evolving situation in the region, a meeting of the high-level committee on reserves and consumption of petroleum products was held under the chairmanship of Prime Minister Shehbaz Sharif. According to sources, Finance Minister Muhammad Aurangzeb briefed Prime Minister Shehbaz during the meeting.
Sources say that a plan has been prepared to reduce working days in offices, educational institutions and service-providing organizations, while a virtual education system in educational institutions and a work-from-home mechanism for offices are also being explored.
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According to officials, thanks to these measures it will be possible to efficiently use existing fuel reserves and reduce demand. As part of this plan, a mechanism for weekly revision of the prices of petroleum products is also being studied.
It was also decided to carry out a strict crackdown to prevent hoarding, illegal storage and smuggling, with Prime Minister Shehbaz expected to take important decisions in this regard.
