IMF Denies Cheap Electricity Plan for Crypto Mining, Data Centers in Pakistan
The International Monetary Fund (IMF) has rejected Pakistan’s proposal to offer subsidized electricity rates to crypto mining, data centers, and heavy industries.
Secretary Power Dr Fakhray Alam Irfan informed the Senate Standing Committee on Power that although surplus electricity is available during winter, the IMF is strictly against targeted subsidies.
The plan is now under review by the World Bank and other lenders, and has not been withdrawn yet.
Senators criticised a recent Rs. 1.275 trillion circular debt settlement with banks. One lawmaker claimed banks were forced into the agreement. The Power Secretary denied coercion and confirmed no new levies have been imposed.
He said over 500,000 consumers have downloaded the Apna Meter Apni Reading app to reduce overbilling, and the service will be extended to K-Electric (KE) soon.
Senators condemned prolonged load shedding despite full bill payments. One senator alleged local officials demand bribes to restore connections. The Power Secretary said revenue-based load shedding is applied in areas with over 20 percent losses.
The Secretary Power added that 58 percent of users pay a subsidised rate of Rs. 10/unit. The government, with donor approval, will allocate Rs. 250 billion in subsidies this year and expand anti-theft technology.
