- PM says that the government implements the strategy for sustainable energy reforms.
- The authorities authorize to ensure the timely completion of strategic projects.
- The minister says that Govt fell from direct energy purchases.
Prime Minister Shehbaz Sharif approved a revised 10 -year electricity supply of electricity supply on Wednesday, considerably reducing planned purchases of 14,000 megawatts (MW) to around 7,000 MW, the Minister of Energy said in a statement.
This decision aims to reduce the country’s dependence to expensive and long -term contracts and to promote market -oriented solutions.
The Prime Minister presided over a high-level meeting to examine the plan to expand the integrated generation capacity (IGCEP) 2024-2034, reaffirming the government’s commitment to reducing electricity prices and implementing sustainable reforms in the energy sector, a press release from the Prime Minister announced.
“After supporting people with a large reduction in prices, we are now implementing an effective strategy for reforms in the sustainable energy sector,” said the Prime Minister.
The PM has ordered the electrical authorities to ensure the timely completion of strategic projects such as the Diamer Bhasha dam, highlighting the need for a robust system to exploit the country’s water and power resources.
“Any delay in energy projects is unacceptable,” he said, adding: “We soon head to a free electricity market in the country, which will encourage competition and lead to an additional reduction in power rates.
The Prime Minister was informed that the IGCEP had been fully reassessed on its instructions, revealing a place for improvement.
The revised plan, prepared through dedicated efforts from the Ministry of Energy, is better aligned with the realities on the ground and future requests.
The main strengths of the briefing included the implementation of competitive auctions for future electricity production projects over the next ten years.
Expensive electricity projects totaling 7,967 MW are being suppressed of the plan. The revised deadlines for the project and the exclusion of expensive companies will lead to estimated savings of $ 17 billion (4.743 rumors of rupees).
Indigenous resources and alternative energy sources, such as solar, nuclear and hydroelectric energy, will be priority over imported fuels, leading to significant exchange savings.
In addition, the gradual ignition in capacity payments to electricity producers is one of the reforms.
Prime Minister Shehbaz congratulated the Federal Minister for power Sardar Awais Leghari and his team for their efforts, qualifying the massive economies of “historical success” for Pakistan.
The meeting was followed by the Minister of Power, the Minister of Economic Affairs Ahad Khan Cheema, the Minister of Information Attaullah Tarar, the Minister of Petroleum Ali Pervaiz Malik and senior officials of the relevant services.
Meanwhile, the Minister of the Power in a statement said that with this quarter of work, the government intended to save 4,743 billions of rupees and protect consumers from the cost increase.
“The government has canceled plans to obtain 7,000 MW of electricity to mitigate financial pressure on households and businesses,” said the minister.
Leghari said that the administration has returned from direct participation in electricity purchases, abandoning the “single buyer” model.
“Instead, future transactions will occur through competitive markets to ensure transparency and efficiency,” added the minister.
Tying reforms as “more critical than the current talks with independent power producers (PPI)”, the Minister of the Power stressed that they were more important than the revision of existing agreements with the IPP.
“This overhaul prioritizes public well-being and budgetary responsibility,” added Leghari, signaling a wider thrust to stabilize the energy sector of Pakistan.
