Gas, electricity prices likely to increase in FY 2024-25 budget

ISLAMABAD: The prices of gas and electricity are likely to increase in the upcoming budget for FY2024-25 which would leave a significant impact on consumers, ARY News reported citing sources.

According to sources, the government is considering taxation on the real estate sector to increase revenue, as well as taking action against benami transactions in the real estate sector.

Additionally, the government will also take action against those traders who do not use the “Tajir dost app”, sources added.

The budget is also expected to focus on the timely implementation of decisions made by the National Electric Power Regulatory Authority (NEPRA) and the Oil and Gas Regulatory Authority (OGRA).

The development budget will likely prioritize near-completion projects, and all ministries and departments will be subject to an audit to assess their performance.

Moreover, government institutions may receive limited funding, and the privatization process is expected to be accelerated, particularly for loss-making entities, source added.

Earlier, K-Electric sought a whopping Rs18.86/ unit hike in the power tariff on account of monthly Fuel Charges Adjustments (FCA) of seven months in an application to the National Electric Power Regulatory Authority (NEPRA).

The sole power provider of the port city requested to lower the power tariff for two months by Rs0.29/unit.

It is pertinent to mention here that Pakistan government decided to ‘finalise’ budget targets for FY2024-25 before the arrival of the International Monetary Fund (IMF) mission to Islamabad.

Read more: Pakistan to ‘finalize’ FY2024-25 budget targets before IMF team arrival

The IMF team is scheduled to arrive in Pakistan on May 15 for the talks on the fresh loan programme, being sought by the South Asian nation to address financial needs.

Sources say that the government expedited preparations for the budget targets before the arrival of the IMF mission. In this regard, the Ministry of Finance has directed relevant ministries to complete targets expeditiously.

The sources said the framework for all important budgetary targets will be prepared and sent to the IMF.