[:en]LAHORE (News Desk) Independent Power Producers (IPPs) have rejected the government’s request to reduce electricity rates, including capacity charges, citing a breach of contract.
At meeting held in Lahore and Karachi, IPPs demanded the government first lower the rates of its state-run power plants and remove unjust taxes on electricity bills.
IPPs also criticized the 38 per cent tax imposed on electricity bills, threatening to take the issue to international arbitration if the government attempts to enforce reductions without addressing these concerns.
The current electricity tariffs, ranging from Rs60-80 per unit are the highest globally and have caused the closure of industries like textiles and steel.[:]