The federal government has approached the National Electric Power Regulatory Authority (NEPRA) for a reduction in electricity stars after the approval of the International Monetary Fund (IMF).

The government has proposed a reduction of RS1.71 per year. Unit in electricity prices, which would be relieved through a duty supplement. Power Regulatory Authority is scheduled to hold a hearing on April 4th, Express News reported Friday.

The proposed customs reduction is intended to apply to all distribution companies, including K-electric, with the subsidy, which will take effect from April to June 2025.

The move comes a day after the International Monetary Fund (IMF) said that Pakistan can reduce electricity prices by RS1 per year. Unit using revenue from RS791 per Unit tax imposed on gas used internally for power production of industries-the only measurement that the government has so far secured.

This will lower the electricity bills by 1.5%, but industries that use gas to generate internal power must pay 23% extra for gas to achieve this minimal reduction.

Revenue from captivity companies can be used to reduce electricity prices by RS1 per year. Kilowatt, said Mahir Binici, the resident’s representative of the IMF, in a short statement on Thursday.

Binici submitted the declaration one day after Pakistan and IMF reached an agreement at staff level on the end of the first review interviews. Binici said the price reduction would benefit all consumers. However, Islamabad High Court has already suspended off-grid gas tax for at least five weeks.

Pakistan and the IMF have reached an agreement at staff level for the second loan count of $ 1 billion, but the time of the IMF board meeting is still uncertain.

RS1 per Unit reduction suggests that the government and the IMF expect to generate approx. RS110 billion for RS120 billion in revenue from off-grid gas tax.

Prime Minister Shehbaz Sharif has long been aimed at reducing electricity prices by at least RS6 to RS8 per year. Unit.

However, the power department has not yet presented a plan that is acceptable to the IMF that would result in a significant price cut. Pakistan has also tried to convince the IMF to allow a reduction in electricity prices based on additional income from increased oil taxes, reduced taxes and downward revisions in fuel price adjustments and quarterly customs adjustments.

The IMF remains unwilling to lower the tax on electricity bills. It has not yet communicated whether it will allow the government to spend a further RS180 billion in revenue from the recent RS10 per year. Liter increase in petroleum tax to reduce electricity prices.