Federal Minister for Energy Owais Leghari has announced plans to retire expensive power plants to reduce electricity prices across Pakistan. Speaking in Islamabad after a meeting with MQM National Assembly members, he highlighted the government’s commitment to lowering energy costs and detailed progress in rescheduling energy sector debt with China.
Leghari attributed the rise in capacity payments to the devaluation of the rupee and increased interest rates. He also emphasized the government’s ongoing efforts to reform the power sector, addressing the complexities and legal challenges involved with Independent Power Producers (IPPs).
As part of the strategy to reduce costs and reliance on imported resources, the government plans to convert imported coal plants to local coal. The Power Division confirmed that the MQM delegation was briefed on these reforms.