ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet, chaired by Finance Minister Muhammad Aurangzeb, has approved the uniform application of fuel charges adjustment (FCA) across the country, including for K-Electric consumers.
To ensure a single tariff nationwide, the ECC allowed the National Electric Power Regulatory Authority (Nepra) to apply the same FCA rates on K-Electric consumers as those charged to state-run power distribution companies (Discos).
Any difference between the notified FCA for Discos and the rate for K-Electric will be covered through subsidies or cross-subsidies. The uniform application will start from the FCA of June 2025, to be collected in August bills.
During the meeting, the ECC also discussed several other key issues:
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PNSC Ships in South Africa: The committee considered a summary from the Ministry of Maritime Affairs about the arrest of Pakistan National Shipping Corporation (PNSC) vessels in South Africa over claims against Pakistan Steel Mills. It directed the Finance Division to release Rs330.526 million to PNSC through a Technical Supplementary Grant (TSG) and ordered the Ministry of Industries & Production to speed up arbitration proceedings and report progress within three months.
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Fan Replacement Programme: The ECC approved the term sheet for the Prime Minister’s Fan Replacement Programme, prepared by NEECA, State Bank of Pakistan, and commercial banks. To launch the scheme, it approved Rs2 billion as TSG for NEECA.
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Strategic Policy Planning Cell: The ECC allocated Rs250 million to the National Security Division’s Strategic Policy Planning Cell, with further releases to be made in phases after expenditure review.
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Relief for Rain Victims: The committee gave in-principle approval to provide Rs5.8 billion in relief to people affected by recent monsoon rains. It directed the Finance Division to immediately release Rs4 billion for urgent assistance.
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Digital Payments Subsidy: The ECC approved Rs3.5 billion for the Raast QR Code-based person-to-merchant payment system for the current fiscal year. The subsidy will continue for three years to promote digital adoption. The State Bank of Pakistan will notify the scheme and present an evaluation report by the end of the year.
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New Energy Vehicle Policy: The ECC approved the New Energy Vehicle Policy 2025-30, which aims to promote electric vehicles in Pakistan. The committee praised the Industries & Production Division for preparing a forward-looking and comprehensive policy.
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Risk Coverage for Farmers: The ECC reviewed a new risk coverage scheme for small farmers, especially in underserved regions. The programme will support subsistence farmers in Punjab and Sindh, and all farmers in KP, Balochistan, AJK, and Gilgit-Baltistan. It is expected to bring more than 750,000 new borrowers into the formal credit system within three years.
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Gas Sector Review: The ECC also examined the gas supply situation and directed the Ministry of Petroleum to take strong steps to reduce losses and improve efficiency in the sector.
