Web Desk: The Economic Coordination Committee (ECC) of the Cabinet, chaired by Senator Muhammad Aurangzeb, Minister for Finance and Revenue, met yesterday at the Finance Division, Islamabad, to review key policy and financial measures across multiple sectors.
According to an official statement shared by the Ministry of Finance, Government of Pakistan, the ECC approved major proposals presented by the Power Division. Moreover, these proposals includes frameworks for tariff rationalisation and settlement of dues among nuclear power plants, government-owned plants, OGDCL, and SNGPL.
“These reforms, developed through the Prime Minister’s Task Force on Power Sector Reforms, are designed to enhance financial sustainability, improve liquidity, and ensure long-term cost efficiency in the power sector,” the ministry stated.
In a significant move, the Committee approved the issuance of a Government guarantee worth Rs. 659.646 billion for circular debt financing. Similarly, Rs. 1.225 trillion to settle Power Holding Limited’s (PHL) liabilities and overdue payments to Independent Power Producers (IPPs).
The Finance Division has been authorized to issue a Letter of Comfort, while the Power Division will “report back on the closure plan for PHL after debt settlement,” according to the official announcement.
The ECC also took several other key decisions during the meeting
- Approved a proposal by the Ministry of National Food Security & Research to reallocate funds within the Division to strengthen agricultural research initiatives.
- Discussed a Maritime Affairs summary on the utilization of PIBT at Port Qasim for mineral exports and directed the Ministry to resubmit it after stakeholder consultations.
- Approved a technical supplementary grant (TSG) for the payment of salaries to transferred Pak PWD staff for the current quarter, with directions to the CDA to present a plan regarding the staff.
- Endorsed a Petroleum Division proposal on gas allocation and pricing from the Mari Field to ensure a stable and affordable fertilizer supply.
- In addition, reviewed a Finance Division report on the Home Remittance Incentive Schemes (HRIS).
The meeting was attended by Federal Ministers for Power, Petroleum, Commerce, and National Food Security, along with senior officials from relevant ministries and departments.
The ECC reaffirmed the government’s commitment to ensuring fiscal discipline and structural reforms across key economic sectors to stabilize Pakistan’s financial framework and promote sustainable growth.
