Islamabad, Sep 18: The Ministry of Energy has established a new government plan to offer Rs. 487 billion in subsidies for power sector consumers.
The Benazir Income Support Program (BISP) data will be utilized to select the beneficiaries of the subsidy, which will be integrated with the social protection program. The International Monetary Fund has already warned against removing any subsidies in order to facilitate the release of cash under the newly approved $7 billion bailout program.
According to the paper, lifeline customers will get a special Rs. 20 billion subsidy. Subsidies worth an estimated Rs. 380 billion would be given to protected users who use up to 200 units, and Rs. 160 billion will be given to those who use up to 300 units.
On the other hand, the government intends to do away with Rs. 23 billion in subsidies for customers who use 300–700 units. In addition, the document stated that households using more above 700 units will lose an additional Rs. 50 billion in subsidies.
