AFTER raising hue and cry through social media, people affected hard by the budgetary measures and other policies of the government that triggered yet another wave of price-hike are now on roads to protest against ‘cruel’ taxation and unjustified pricing formula and increased rates of electricity. These spontaneous protests erupted in the length and breadth of the country on the very first day of the new fiscal year when apart from other measures, the government notified additional customs duty on import of 2,200 items and regulatory duty on 657 luxury items. Two percent tax has also been imposed on items that were previously exempt from duty.
The government might try to give the protest political colour as apart from the main opposition party, the PTI, the JI has also announced to organize rallies and sit-ins in Islamabad to lend strength to the plight of otherwise voiceless people suffering badly under the burden of lop-sided and unjust policies but electricity bills for the month of June and impending tsunami of price-hike due to budgetary measures explain woes of the masses. Electricity prices have mercilessly been hiked in the last two years in the name of addressing the circular debt, which, unfortunately is not subsiding, and as if it was not enough, the government has hiked the base tariff besides frequent upward revision in so-called fuel and quarterly adjustments. The planners seem to be deliberately fuelling crisis as there is no downward revision or reimbursement of fuel adjustment and quarterly charges despite significant reduction in prices of oil in the international market; exploitation of the people has peaked due to anti-consumer slabs; application of rates of the higher slab for continuous six months if a consumer crosses previous slab by just one unit; creation of deliberate hurdles in the way of adoption of solar energy and imposition of multiple taxes on bills. It is because of the cumulative effect of these and similar other measures taken by the government that people have received power bills much more than total family income for a month and therefore their protest becomes understandable. It is all the more regrettable that instead of contemplating relief measures to the consumers, the government, under the pressure of the IMF, has imposed fixed charges on bills. The points raised by JI Emir Hafiz Naeemur Rehman, who announced the launch of “Haq do awam ko” (give rights to people) movement, are worth consideration. He lashed out at the government and the ruling elite for clinging to their privileges while pushing the nation into “further difficulties.” Describing the budget as “harsh,” he accused the government of seeking to impose additional taxes on the populace, focusing the burden on salaried workers while exempting landowners and the elite. There is logic in his demand that the privileged segment of the society must relinquish its perks, and the per unit power price must be lowered, alongside an overhaul of the tax system. An increase of 119% in brain-drain is manifestation of disillusionment of the youth, doctors, engineers, IT professionals and chartered accountants, who are leaving the country due to economic hardships, price-hike and unemployment. The issue of unemployment would compound as the government is in the process of closing various ministries and divisions besides active consideration of a proposal to abolish all posts lying vacant for the last one year. It is also a cruel joke that the government has reneged on its pledge to provide relief to gas consumers as it declined on Monday to pass on a cut in the tariff proposed by the Oil and Gas Regulatory Authority (OGRA). It is a foregone conclusion that people have no more capacity to absorb shocks of price-hike and unreasonable upward revisions in electricity and gas tariffs. The government will have to plug rising theft of electricity and gas, review their pricing formulas and rationalize taxes on power bills to provide relief to the consumers besides encouraging conversion to solar energy both and individual and state levels.