Pakistan forms task force on rising power tariffs as religio-political party continues protests

Jamaat-e-Islami (JI) party chief, Hafiz Naeem-ur-Rehman (left), is addressing party activists and supporters in a demonstration against the country's rising inflation in Rawalpindi on August 7, 2024. (@JIPOfficial/X)
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Updated 08 August 2024
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Pakistan forms task force on rising power tariffs as religio-political party continues protests

  • Around 3,000 Jamaat-e-Islami supporters have staged sit-in in Rawalpindi since July 26 against inflation, high electricity costs
  • On Wednesday, the JI threatened to launch a civil disobedience movement if the government did not meet its demands

ISLAMABAD: Federal Minister for Information Attaullah Tarar on Wednesday announced a positive round of talks with the leadership of a religio-political party protesting against inflation and high electricity prices in Pakistan, saying the government had constituted a task force to deal with the issues. 

Thousands of supporters of Jamaat-e-Islami (JI) party have set up a protest camp in Rawalpindi since July 26, highlighting the rising tax burden on the people of Pakistan and demonstrating against the escalating electricity tariffs due to the capacity charges of independent power producers (IPPs) in the country.

These charges refer to the payments made by the government to the IPPs for maintaining the availability of electricity, regardless of how much of it is ultimately consumed.

The capacity charges have become a significant point of contention as they contribute to the circular debt in the energy sector and lead to high electricity tariffs.

“Jamaat-e-Islami’s demand is on our agenda to reduce electricity prices,” Tarar was quoted as saying by the Associated Press of Pakistan (APP) news agency. “Our negotiations have been adjourned until tomorrow. Even today, there has been a lot of progress in the negotiations.”

“A task force has been set up to look into the issues of IPPs,” he added.

Tarar said Prime Minister Shehbaz Sharif has taken measures to reduce power tariffs in the country, including a subsidy of Rs50 billion to electricity consumers using up to 200 units in the months of June, July, and August.

The JI chief, Hafiz Naeem-ur-Rehman, told journalists his party would continue its sit-in and take its protest to Lahore, Peshawar, and Multan.

The JI has already started staging a sit-in in Karachi in front of the Sindh Governor House.


Indonesian president to visit Pakistan next week to strengthen defense, investment ties

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Indonesian president to visit Pakistan next week to strengthen defense, investment ties

  • President Prabovo Subianto to arrive with high-level delegation of ministers in Pakistan on Dec. 8-9
  • Several agreements to be signed during President Subianto’s visit, says Pakistan’s foreign ministry

ISLAMABAD: Indonesian President Prabowo Subianto will visit Pakistan on Dec. 8-9 to explore avenues to enhance bilateral cooperation with Islamabad in trade, defense, investment, health, education and other sectors, Pakistan’s foreign ministry said on Sunday. 

Pakistan enjoys cordial ties with Indonesia, with diplomatic relations between the two countries established in 1950. The volume of bilateral trade between Pakistan and Indonesia surged to $2.6 billion in 2020, as per official data. 

Subianto, who will be accompanied by a high-level delegation comprising key ministers and senior officials, will mark his maiden visit to Pakistan. The last Indonesian president to visit Pakistan was in 2018 when Joko Widodo arrived in the country.

“The two sides will discuss a wide-ranging agenda aimed at further strengthening Pakistan-Indonesia relations and exploring new avenues of cooperation, including trade, investment, defense, health, IT, climate, education and culture, as well as enhancing collaboration at regional and global levels,” the Pakistani foreign ministry said.

“Several Memoranda of Understanding (MoUs) are expected to be signed during the visit.”

During his visit, Subianto will hold delegation-level talks with Pakistan’s prime minister and meet the country’s president and chief of defense forces. 

“The visit of President Prabowo will provide an important opportunity to deepen bilateral ties and expand mutually beneficial cooperation, contributing to the continued growth and diversification of the partnership between the two countries,” the foreign ministry said.

Indonesia is also home to a few hundred Pakistani expatriates, many of whom are engaged in businesses such as restaurants, hand-knotted carpets, precious stones, textile items, and herbal medicines.