ISLAMABAD: The Economic Coordination Committee (ECC) of the federal cabinet has approved the nationwide application of a uniform fuel charges adjustment (FCA), extending the measure to consumers of K-Electric as part of the government’s broader uniform tariff policy, The News reported.
The decision was taken during a session chaired by Finance Minister Muhammad Aurangzeb, where the ECC reviewed several critical economic and development-related issues. Officials confirmed that the National Electric Power Regulatory Authority (Nepra) will apply the FCA determined for state-run power distribution companies (Discos) to K-Electric consumers through tariff rationalisation.
According to the decision, the same rationalisation mechanism and applicable period will be followed for both Discos and K-Electric to ensure nationwide consistency and financial sustainability in the power sector. Any difference between the monthly FCA rate for K-Electric and the notified FCA rate will be covered either through a subsidy or cross-subsidy. The uniform application of FCA will take effect from June 2025 (Discos FCA) and will be reflected in billing from August 2025.
In addition to the fuel charges decision, the ECC also deliberated on a summary submitted by the Ministry of Maritime Affairs regarding the arrest of Pakistan National Shipping Corporation (PNSC) vessels in South Africa, linked to claims against Pakistan Steel Mills Ltd.
After detailed discussions, the committee directed the Finance Division to release Rs330.526 million to PNSC through a Technical Supplementary Grant (TSG) in line with an earlier ECC decision of 2017. It also instructed the Ministry of Industries and Production to expedite arbitration proceedings and provide a progress update within three months.
The ECC also cleared the launch of the Prime Minister’s Fan Replacement Programme, approving a TSG of Rs2 billion for the National Energy Efficiency and Conservation Authority (NEECA) to kick-start the initiative. Similarly, Rs250 million was approved for the National Security Division’s Strategic Policy Planning Cell, while a phased release of the remaining funds will follow after expenditure rationalisation.
In response to damage caused by recent monsoon rains, the ECC approved a Rs5.8 billion relief package for the National Disaster Management Authority (NDMA), instructing the Finance Division to release Rs4 billion immediately to support affected families.
The committee also approved a subsidy of Rs3.5 billion for Raast QR Code-based payments to promote digital adoption and expand the digital economy. The State Bank of Pakistan has been tasked with implementing the scheme and submitting a performance report by the end of the fiscal year.
Another major development was the approval of the New Energy Vehicle Policy 2025-30, which the ECC hailed as a forward-looking step to encourage electric vehicles in Pakistan. The committee also reviewed a risk coverage scheme for small farmers, expected to bring over 750,000 new borrowers into the formal credit system over three years, particularly benefiting underserved regions such as KP, Balochistan, AJK, and Gilgit-Baltistan.
Finally, the ECC assessed the current gas sector and directed the Ministry of Petroleum to adopt strict measures to reduce sectoral losses and improve operational efficiency.
