Karachi: Muhammad Kamran Arbi, President of the SITE Association of Industry (SAI), has urged the government to urgently address the issue of high electricity tariffs which he argues are making Pakistani industries uncompetitive on the global stage. The appeal comes amid growing concerns within the business community about the detrimental impact of current energy prices on the country’s export and general industries.

According to S.I.T.E Association of Industry, Mr. Arbi highlighted the stark disparity between Pakistan’s industrial energy costs and those of its competitors like Bangladesh, India, Indonesia, Vietnam, and Egypt. He emphasized that the excessive energy tariffs are not only harming Pakistan’s competitiveness but also posing serious threats to industrial production and employment.

The SAI President described the situation as alarming and called for immediate governmental intervention to adjust the power tariffs to reflect the actual production costs. He criticized the existing contracts with Independent Power Producers (IPPs) as the primary cause for the exorbitant tariffs, noting that capacity payments have reached unsustainable levels without corresponding increases in electricity usage. This issue, he stated, is exacerbating the financial strain on consumers already struggling with high inflation.

Mr. Arbi has made a direct appeal to the Prime Minister, the Finance Minister, and the Energy Minister of Pakistan to take swift action to revise the power tariffs in the interest of national economic stability and to safeguard the country's export markets.