Current cost of electricity and gas barrier to investment
\nIslamabad
\nChairman of National Business Group Pakistan, President Pakistan Businessmen and Intellectuals Forum, and All Karachi Industrial Alliance, and former provincial minister Mian Zahid Hussain, said on Friday that the expense of gas and electricity is preventing local and foreign investment.
\nHe said that without inexpensive energy, exports and production cannot increase, hence taxes will remain unsatisfactory and unemployment will increase.
\nMian Zahid Hussain said that SIFC ought to make an effort to lower gas and energy rates to attract investment.
\nSpeaking to the business community, the veteran business leader said that people and investors are worried due to the ever-increasing prices of electricity, gas, and oil.
\nEnergy prices in Pakistan are the highest compared to other countries in the region, which is hampering exports, he said.
\nThe business leader observed that a reduction in electricity and gas prices is possible provided line losses, theft, and defaults are eliminated. Instead of capacity payments, full utilization of electricity production should be ensured.
\nHe demanded that SIFC take note of this situation and take steps so that investment could be lured, which would also increase employment, income, and revenue.
\nPakistan\u2019s hands are tied due to the IMF\u2019s deal, and apparently it is difficult to give relief to the people and the business community, but some way should be found for it; otherwise, investors will prefer neighboring countries instead of Pakistan.
\nWhy would investors prefer Pakistan over neighboring countries where energy is cheaper and overall conditions are much better? he questioned.
\nMian Zahid Hussain further said that electricity rates in India, Bangladesh, and Vietnam are almost half of those in Pakistan, due to which it has become difficult for our exporters to compete with these countries in the global market.
\nHe further said that the industrial sector is already drowning in the mire of problems, but it is forced to pay Rs 300 billion extra in power bills so that the masses can be subsidized.
\nMian Zahid Hussain further said that due to the high cost of electricity, its usage is decreasing, which is a bad omen for the economy, while the theft of electricity is increasing, which has to be borne by honest consumers.
\nBy making electricity cheaper for the industrial sector, production, exports, and employment will increase, while increasing its use will also reduce the circular credit, but the current policy is the opposite, he observed.
\nThe textile industry can export two billion dollars per month, but the energy sector is blocking its way and is constantly weakening it, which should be taken into immediate notice and necessary steps should be taken, he demanded.<\/p>\n","protected":false},"excerpt":{"rendered":"
Current cost of electricity and gas barrier to investment Islamabad Chairman of National Business Group Pakistan, President Pakistan Businessmen and Intellectuals Forum, and All Karachi Industrial Alliance, and former provincial minister Mian Zahid Hussain, said on Friday that the expense of gas and electricity is preventing local and foreign investment. He said that without inexpensive […]<\/p>\n","protected":false},"author":2,"featured_media":127540,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[909],"class_list":{"0":"post-379030","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-mian-zahid-hussain"},"yoast_head":"\n