President of FPCCI Urges Review of IPP Contracts

Islamabad: Atif Ikram Sheikh, President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), has called for a review of agreements with Independent Power Producers (IPPs). He emphasized the necessity of scrutinizing contracts with IPPs, citing them as the reason behind exorbitant electricity bills faced by the public.
In a statement, Atif Ikram Sheikh highlighted that the government is currently paying monthly payments of Rs. 150 billion to IPPs, despite some power plants operating at less than 10% capacity. He expressed concern over the increasing circular debt burden, which he believes is unfairly impacting the general populace.
President FPCCI further stated that the cost per unit of electricity in Pakistan was previously higher than in neighboring countries, adversely affecting both the standard of living and industrial operations. He urged the government to bring transparency to IPP contracts and to present them before the public for scrutiny.
The situation in Pakistan, he added, is becoming increasingly precarious for ordinary citizens and businesses alike, with the high cost of electricity potentially leading to industrial closures.