Pakistan seeks to reduce electricity prices after mass protests

By Kamran Haider

Pakistan is drawing up a strategy to reduce power tariff after nationwide protests against rising electricity bills over the weekend, a move that was agreed with the International Monetary Fund for a $3 billion bailout. 

Interim Prime Minister Anwaar-ul-Haq Kakar told government officials to come up with steps to reduce power bills, according to a statement by Prime Minister Office on Sunday evening. Kakar who called the meeting after mass protests said the government will not take any decision in haste that can harm the nation. Pakistan unexpectedly froze fuel prices last year that stalled a loan program with the IMF. 

The protests over electricity bills is the first challenge for Kakar’s two-week old caretaker administration, which is installed as a constitutional requirement to supervise national elections in three months of the dissolution of Parliament in early August. The previous government of Shehbaz Sharif had agreed with the IMF to raise taxes and power prices for a deal in June that helped the nation avert a default.

People have taken to the streets in various cities of Pakistan to demand relief from the latest increase in electricity prices after dealing with record inflation that is the highest in Asia. Television footage shows people setting bills on fire and consumers scuffling with officials from power distribution companies. 

One distribution company ordered its employees to remove its distinctive government license number plates from their vehicles to avoid possible mob attacks, newspaper Dawn reported.