Pakistan has accepted the International Monetary Fund’s condition to abolish subsidy on the energy sector on Thursday.
Quoting its sources, the channel reported that the IMF had also set the condition of timely issuance of the notification of annual tariff adjustment.
Sources disclosed that both sides also agreed on speeding up the collection of electricity bills.
Besides that, they revealed, Pakistan and the Fund had agreed on presenting a plan for abolishing the subsidy the government had offered on tube wells.
The international money lending organization had also demanded the government to eliminate circular debt in the gas sector.
Sources further said that the IMF had also demanded the issuance of a notification for an increase in gas prices on June 1 besides stopping gas supply to captive power plants at cheaper rates during the ongoing year.
The Fund, they elaborated, had not only urged the government to supply gas to all fertilizer plants in the country at the same rate but also to other industries across the country.
The negotiations between Pakistan and the International Monetary Fund on the 24th ‘longer and larger’ bailout programme had kicked off on Monday.
