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Public finance

National Assembly Passes IMF-Dictated Money Bill Without Debate

Strategic Insights

— 1 min read

The National Assembly in Pakistan has passed the Off the Grid (Captive Power Plants) Levy Bill, 2025, a money bill dictated by the International Monetary Fund (IMF), without any debate or discussion. The bill aims to provide legal justification for imposing a grid levy on industrial captive power plants (CPPs) that use natural gas or imported liquefied natural gas. The bill was tabled by Minister for Petroleum Division Ali Pervaiz, who moved for its passage soon after the presentation of the report of the standing committee on petroleum.

Key Takeaways:

  • The National Assembly passed the Off the Grid (Captive Power Plants) Levy Bill, 2025, without debate, as it is a money bill.
  • The bill aims to provide legal justification for imposing a grid levy on industrial captive power plants (CPPs) that use natural gas or imported liquefied natural gas.
  • The bill was tabled by Minister for Petroleum Division Ali Pervaiz and passed with a vote of 99-44, defeating the opposition's challenge to the ruling of the chair.
  • The bill is part of Pakistan's commitments under the International Monetary Fund's Extended Fund Facility.
  • The minister emphasized that the bill aims to optimize surplus electricity generation, improve efficiency in the power sector, and relieve financial pressures on the economy.
  • The bill has already been enforced through an ordinance, and the government has notified an increase in gas rates for industrial CPPs by about 23%.
  • The National Assembly also passed a unanimous resolution calling on the government to strongly condemn India's unilateral decision to suspend the Indus Waters Treaty (IWT), terming it a clear violation of the agreement and an 'act of war'.

Statistics:

  • 99-44 vote in favor of the bill, defeating the opposition's challenge.
  • 23% increase in gas rates for industrial CPPs.
  • Number of members present in the National Assembly during the passage of the bill: not specified.
  • Number of members present in the Senate committee on finance: not specified.
  • Date of the suspension of the Indus Waters Treaty (IWT) by India: not specified.

Sources:

  • Off the Grid (Captive Power Plants) Levy Bill, 2025 (National Assembly document)
  • Report of the standing committee on petroleum (National Assembly document)
  • News article by a Pakistani daily: not specified

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