Islamabad Chamber of Commerce & Industry (ICCI) has strongly resented the 14 paisa per unit raise in power tariff effective from 1st May 2010 & 12 percent in gas from 1st July 2010 termed it an unwise move as it would further increase the cost of doing business, hit industrial production and affect exports.

Mr.Zahid Maqbool, President, ICCI said that our economy is still struggling for recovery and it was the need of the hour that government should have focused on reducing cost of doing business to facilitate economic growth, attract investment and reduce unemployment.

However, he termed it unfortunate that instead of creating conducive business environment, government has made more than 70 percent increase in electricity tariff and many times increase in gas prices during the last more than two years.

These measures have multiplied the problems for overall economy as production cost has gone very high, inflation is on the rise while people are finding it extremely difficult to make ends meet.

He said repeated increase in the prices of electricity, gas and POL products in recent past has badly eroded Pakistan’s competitiveness due to which the country is losing attraction for investment and this situation would further destabilize the economy. 

Mr.Zahid Maqbool said textile sector is the backbone of Pakistan’s exports. But hike in gas price would specifically hit that sector being the largest user of gas. He said that with exorbitant increase in production cost, achieving the set economic targets would become more difficult.

He urged the government to immediately withdraw hike in gas and power tariff and try to exploit cheap energy sources for power generation including hydro, coal, gas, wind, solar and biomass etc. to make energy affordable all commercial and domestic consumers so that trade and industry could grow easily and people could be able to lead better life