The International Monetary Fund (IMF) arrived in Islamabad on Monday and started talks with Pakistan. The IMF expressed concerns over Pakistan’s approach to managing reduced electricity demand due to solar adoption and surplus imported gas.
The discussions included critical inquiries into Pakistan’s energy plans, particularly the shift to solar and surplus gas management. Pakistan proposed continuing imported gas supply for industries’ in-house power generation beyond January 2025, contingent on full cost recovery. The IMF wasn’t impressed, reported Express Tribune.
The IMF also asked questions about Pakistan’s handling of unpaid Gas Infrastructure Development Cess (GIDC) dues exceeding Rs. 400 billion, which the government blamed on stay orders issued by local courts. It bears mentioning that the Supreme Court cleared these dues for recovery in 2020, yet the government has struggled to collect from key sectors like fertilizer and textiles.
On solar energy, the IMF sought clarification on the impact of provincial incentives that contradict federal policies and demanded a comprehensive response from the government.
The IMF also reviewed Prime Minister Shehbaz Sharif’s winter package which discounts incremental power usage for residential and commercial consumers. The IMF found progress on circular debt management and 91 percent bill recovery satisfactory but insisted on targeted subsidies limited to Benazir Income Support Program beneficiaries only.
The government further said it was discussing deferring LNG imports from Qatar to mitigate low demand. The IMF expressed concern over Pakistan’s ability to manage this surplus effectively.
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What a misleading headline. The IMF is NOT disappointed with solar adoption. They are disappointed with the government’s handling of the reduced demand for electricity, the subsidies and of course the cretinous announcement of subsidies to the public this winter.
Now Speedy can now say “I wanted to do it but the IMF stopped me”.
There is always someone else to blame.
The headline is completely false and out of question. I can’t expect how news agencies bother to fact checked before publishing anything for views.
Beggers can never be choosers…
A slave has to do whatever is ordained by his master…
The IMF has objections on many points and I am sure some of these will never be made public. IMF has not and cannot object to the use of solar panels as this is not that organization’s mandate. It may have raised objections on some aspects of how solarization is being done in this country.
IMF has problems with the common man benefiting from something while at the same time taxpayer’s money is used for protocols and lavish lifestyles of the “civil servants” and politicians, the IMF having no objections on it?
What is going on