ISLAMABAD (Dunya News) - Minister for Power Sardar Awais Ahmed Khan Leghari said that the government has abandoned the procurement of around 8000 megawatts of expensive electricity purely on merit, which will likely to save $17 billion.
Addressing a news conference in Islamabad on Sunday, he said that the losses incurred by power distribution companies are borne by the federal government instead of being passed on to consumers.
The minister said that the government is implementing comprehensive power-sector reforms, resulting in a significant increase in recovery and a reduction in losses and circular debt.
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He said that losses were reduced from Rs586 billion to Rs393 billion, while circular debt declined by Rs780 billion last year.
He further said that the recoveries improved by Rs183 billion.
Speaking about the relief in electricity prices, he said that power tariffs have been reduced by 20 percent at the national level in last two years.
Expressing confidence, Leghari said that the electricity prices would be brought at par with international rates within the next 18 months under the leadership of Prime Minister Shehbaz Sharif.