Already, Pakistani products become non-cost-effective in the global market.

The LCCI newly elect President Irfan Qaiser Sheikh concerned that last month an increase of 22 percent was made in electricity tariff, citing, increase in power tariff would not resolve the revenue and other problems but there were certain measures needed to be taken to remove inefficiencies of the system such as power theft and line losses.

He said the Power sector planners should take cue from the efficient power distribution companies like IESCO and FESCO where the line losses are only 9 to 11 percent and the dues collection is 99.9 percent in contrast the line losses in SESCO (Sindh Electric supply company) are 40 percent while the situation in PESCO, HESCO and QESCO is almost the same.

Irfan Sheikh said that all the DISCOs should be directed to determine their respective electricity tariff on basis of line losses in that particular DISCO. For instance, if the line losses in a distribution company are bigger than the other the power tariff in that particular DISCO should more than the other, he said.

He said that uninterrupted power supply to industrial sector would help the manufacturers to complete export orders in time.

Copyright APP (Associated Press of Pakistan), 2011