How to control circular debt
Opinion
April 30, 2021
The writer is a former member of the Energy Planning Commission and author of ‘Pakistan’s Energy Issues: Success and Challenges’.
It was recently reported that the PM has asked the Ministry of Finance and the Power Division to reduce circular debt without increasing the tariff, and handle the capacity charges.
One is relieved to hear of the PM’s interest in the issue. Indeed, the best option is to somehow reduce the capacity charge which has been increasing due to slow demand and higher capacity cost. Increase in tariffs would have political consequences among rising inflation. Even the economy and exports may be hurt due to an increase in electrical tariff.
Caveats and reform proposals thenews.com.pk - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from thenews.com.pk Daily Mail and Mail on Sunday newspapers.
Tariff hike: some caveats and reform proposals tribune.com.pk - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from tribune.com.pk Daily Mail and Mail on Sunday newspapers.