Cash-strapped Pak announces early closure of markets, wedding halls to save energy

ISLAMABAD: Cash-strapped Pakistan on Tuesday announced early closure of markets and wedding halls as part of a raft of measures under a new energy conservation plan as the government struggled to revive the economy.

Briefing the media after a meeting of the cabinet which approved the National Energy Conservation Plan to save energy and decrease dependence on imported oil, defence minister Khawaja Asif said markets, including restaurants, would close at 8.30pm while wedding halls would shut doors by 10.00pm respectively, which will "save us Rs 60 billion". Announcing more measures, he said that manufacturing of incandescent bulbs would be stopped from February 1 while production of inefficient fans would be stopped from July. He said these measures would help to save another Rs 22 billion.

The government would also make the use of conical geysers mandatory within a year, which by using less gas would save Rs 92 billion, and alternative use of street lights would save another Rs 4 billion.

Asif said that all government buildings and offices would also reduce use of energy under the plan and a policy to work from home would also be completed in up to 10 days.

"No lights were on in the cabinet meeting today. The meeting was held in full sunlight," he said. Asif also said that the cabinet planned to conserve 30 per cent of the electricity used by government departments, which would save Rs 62 billion. In another step, Asif said that electric motorcycles would be introduced by the end of this year to help cut the import of fuel.

The move comes as Pakistan struggles to quell default fears in domestic and international markets. Pakistan's foreign exchange reserves barely cover a month's worth of imports, most of which are accounted for by energy purchases from abroad, with a $1.1 billion IMF bailout tranche having been delayed.

Pakistan's total liquid foreign exchange reserves stood at $11.7 billion - $5.8 billion with the central bank - as of late last month, having fallen 50% in 2022.