Pakistan and the International Monetary Fund (IMF) are scheduled to meet tomorrow (Tuesday) to discuss several key issues, including targeted electricity and gas subsidies through the Benazir Income Support Program (BISP), quarterly gas price adjustments, and the introduction of a new carbon levy on liquid fuel vehicles.

The proposed energy reforms aim to replace existing electricity and gas tariff subsidies with targeted rebates for low-income consumers via the BISP. Additionally, the government plans to implement quarterly gas tariff adjustments to help mitigate circular debt and enforce stricter anti-theft laws for Distribution Companies (DISCOs), as reported by Business Recorder.

In a broader effort to address climate concerns, the government intends to expand climate budget tagging to provinces and publish climate expenditure reports. New projects under the Public Sector Development Program (PSDP) will require climate impact assessments and transparency in their selection criteria.

Furthermore, the Securities and Exchange Commission of Pakistan (SECP) is set to introduce guidelines for climate-related financial risks and a green finance classification scheme to align with the country’s commitments to climate resilience.