Thursday , June 25 2026

ECC approves Rs 52Bn for power, Rs7Bn for railways

Aftab Maken

ISLAMABADThe Economic Coordination Committee (ECC) of the Cabinet, chaired by Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb, approved a series of technical supplementary grants (TSGs), development allocations, and policy measures covering the power, defence, infrastructure, information technology, and public sectors.

According to an official statement issued after the meeting, the ECC approved two summaries from the Ministry of Defence, including a TSG of Rs1.289 billion for expenses related to Independence Day and Marka-e-Haq Celebrations 2025. The committee also sanctioned Rs2 billion for the construction of the Marka-e-Haq Monument in Islamabad, which will be executed by the Frontier Works Organization (FWO).

The ECC approved a TSG of Rs4.5 billion for completion of Phase-II of the Pakistan Asan Khidmat Centre in Islamabad and authorized the re-appropriation of Rs911.2 million in savings to the Smart Islamabad Initiative.

A grant of Rs8.216 million was approved for the Prime Minister’s Inspection Commission to meet employee-related expenditures, while the committee also sanctioned Rs312.3 million for an incentive package aimed at Pakistan Administrative Service (PAS) and Police Service of Pakistan (PSP) officers serving in Balochistan.

The ECC approved the discontinuation of the Telegraphic Transfer Charges Incentive Scheme (TTCIS) with effect from July 1, 2026.

To support regional development projects, the committee approved the transfer of Rs793.7 million under a Public Sector Development Programme (PSDP) scheme for District Shangla.

The Ministry of Industries and Production received approval to release salary payments for employees of Pakistan Steel Mills from already allocated budgetary resources for the fiscal year 2025-26.

In the maritime sector, the ECC sanctioned Rs600 million as the federal government’s share for the installation of a Vessel Monitoring System in fishing boats across Pakistan.

A major decision was taken in the energy sector, where the committee approved a TSG of Rs52 billion for release to the Central Power Purchasing Agency-Guarantee (CPPA-G) as government equity in power distribution companies (DISCOs). The ECC also approved the reallocation of Rs97.649 billion from K-Electric subsidies to the Inter-DISCO Tariff Differential Subsidy and allowed adjustment of TESCO tariff differential subsidy arrears amounting to Rs44.198 billion.

The committee further approved Rs250 million for Frontier Corps Khyber Pakhtunkhwa (North) to strengthen operational preparedness and security capabilities.

The ECC also extended the validity of sovereign guarantees backing a Rs50 billion financing facility obtained by Sui Northern Gas Pipelines Limited (SNGPL) from Meezan Bank until June 30, 2027.

Among additional decisions, the committee approved an increase of Rs7 billion in Grant-in-Aid for Pakistan Railways and sanctioned a TSG of Rs22.4 million for the Public Private Partnership Authority (P3A) to ensure continuity of operations.

The ECC further approved Rs193.2 million for the Federal Investigation Agency (FIA) to cover employee-related expenses and sanctioned Rs4.2 billion for payment of pending dues to the families of martyrs of the Civil Armed Forces. The committee directed that the amount be met from available savings during the current fiscal year, while any remaining requirement would be accommodated in the next financial year.

The meeting was attended by federal ministers responsible for petroleum, investment, commerce, and education, as well as senior officials from relevant ministries, divisions, and regulatory authorities.

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