Jamaat-e-Islami defers protest after successful talks with govt

Jamaat-e-Islami (JI) has announced a temporary suspension of its 14-day-long protest sit-in following productive talks with the government. The decision came late Thursday after the fifth round of negotiations with the government’s delegation, held at Liaquat Bagh in Rawalpindi.

JI Emir Hafiz Naeem ur Rehman declared the sit-in is “deferred, not ended,” emphasizing that the protest could resume if the government fails to meet their demands. Rehman will outline the next steps during a rally on the Islamabad highway scheduled for today (Friday).

Key Negotiation Points:

1. Power Tariff Reduction: The JI demanded a significant reduction in electricity tariffs, particularly for consumers using up to 500 units.
2. Review of IPP Agreements: There is a call for renegotiation of contracts with Independent Power Producers (IPPs), addressing grievances related to capacity payments and dollar-denominated payments.
3. Tax Relief: The party seeks the abolition of the Petroleum Development Levy, a reduction in food and utility prices, and a decrease in taxes on agriculture, industry, and the salaried class.
4. Education and Employment Incentives: The JI is pushing for tax relief on educational supplies and increased incentives for the industrial sector to boost youth employment.

Outcome of Negotiations:

• Agreement on IPPs: The government has agreed to form a task force to review IPP agreements, with a report expected within a month. Both sides committed to monitoring energy sector issues closely.
• Taxation: The government has consented to imposing taxes on landowners and reducing taxes on the salaried class incrementally.
• Power Tariff: A reduction in electricity prices is promised within the next six weeks. The government aims to scale down power tariffs and has allocated Rs50 billion in subsidies for lower consumption brackets.
• Future Meetings: A committee will be established to address concerns from traders and to ensure continued dialogue between the JI and government representatives.

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Government Response:

Interior Minister Moshin Naqvi and Information Minister Ataullah Tarar signed the agreement on behalf of the government. Naqvi assured that the power tariff would be reduced significantly, while Tarar emphasized Prime Minister Shehbaz Sharif’s commitment to providing relief and not politicizing the issue.

Prime Minister Sharif reiterated last week that the coalition government’s priority is to alleviate electricity costs without engaging in political maneuvers.

As the JI pauses its protest, all eyes will be on the government’s implementation of these agreements and the potential for renewed demonstrations if demands are not met.