Islamabad

Pakistan’s proposal to the International Monetary Fund (IMF) has been sent back with preconditions set to comply before providing any relief in electricity bills to the consumers.

IMF’s response comes after the Pakistan government requested its approval to provide relief to consumers, who have been protesting against power tariffs and imposed taxes in their electricity bills.

According to the details, the IMF has demanded the Pakistan government to withdraw the subsidy it is providing on gas, which is being supplied to captive power plants (CPPs). Pakistan’s Ministry of Finance and Ministry of Power has been in talks with the IMF regarding a proposed relief to the power consumers, who it maintained are in immense pressure and burden due to the massive rise in electricity bills in July.

IMF has asked the interim government to immediately raise the price of gas provided to the CPPs with effect from July, said a source in the Ministrr.

IMF preconditions include five demands that must be met to grant permission for providing relief to power consumers. IMF has also asked the government to share a plan to terminate the subsidy and increase gas price for the CPPs.

The government had reached out to the IMF recently after inflated electricity bills sparked anger, uproar and countrywide protests by locals, who torched theirbills and refused to pay them.

The protesters maintained that they are not going to pay the bills with such high per unit tariffs and taxes, which they said are coupled with excessive billings.