Business
Government Seeks IMF Approval to Pass CPP Levy onto Electricity Consumers – SUCH TV
The government has decided to seek approval from the International Monetary Fund (IMF) to redirect the levy collected from captive power plants (CPPs) to electricity consumers.
Already, a proposal has been approved that the CPP levy will be utilised to provide relief to consumers.
The issue was taken up in a recent meeting of the Economic Coordination Committee (ECC).
During discussion, the Power Division informed the ECC that while approval of the mechanism was being sought.
Its detailed modalities pertaining to transition, calculation and additional benefits to consumers would be finalised later.
The Finance Division was of the opinion that the levy would form part of the overall budget of the Power Division for the current financial year.
While remaining within the Memorandum of Economic and Financial Policies (MEFP) framework agreed with the IMF.
However, the Power Division maintained that the relief to consumers would only be possible if considered over and above the regular budget of the division.
The ECC directed the division to seek necessary clarification from the IMF.
The Petroleum Division backed the proposal and shared its views on the mechanism, which had already been incorporated.
The Ministry of Commerce proposed that the benefit be provided only to industrial consumers.
However, it was found contradictory to the Act, which stipulates that the levy shall be utilised to pass the benefit on to all categories of consumers.
The Law Division endorsed the proposal, stating that no further legal comment was required.
The National Electric Power Regulatory Authority (Nepra) had no objection and recommended that the mechanism for providing relief to consumers be made part of the monthly fuel cost adjustment (FCA) request submitted by the Central Power Purchasing Agency-Guarantee (CPPA-G).
The Finance Division and the Ministry of Industries & Production did not come up with their views despite multiple reminders and were given the opportunity to do so during the meeting.
The Ministry of Energy (Power Division) said that Parliament had enacted the Off the Grid (Captive Power Plants) Levy Act, 2025 to impose a levy on natural gas-based CPPs in order to facilitate their transition to the electricity grid.
Section 4 of the Act provides that the concerned divisions, under the Rules of Business, 1973, shall calculate the rate of the levy by considering the difference between the electricity tariff of the industrial B-3 category notified by Nepra and the self-generation cost of CPPs at the gas tariff notified by Ogra (Oil and Gas Regulatory Authority).
In accordance with the Act, the levy shall be set initially at a fixed 5% margin over and above the power tariff, which shall increase to 10% from August 1, 2025, 15% from February 1, 2026 and 20% from August 1, 2026. It will remain at that level thereafter.
Section 2 of the Act provides the legal basis for the imposition of the levy and empowers Ogra to determine the applicable tariff.
The mechanism for calculation of the levy for CPPs has been modeled on the similar provisions notified earlier.
Furthermore, the Act authorises the federal government to notify the categories of power consumers eligible to receive the benefit of the levy.
The Ministry of Energy (Power Division) explained the mechanism for passing on the benefit to consumers.
The proposed mechanism provides that the Power Division will ensure the remittance of the collected levy to the Finance Division at the close of each month.
Based on data compiled by the Power Planning & Monitoring Company (PPMC), the amount to be passed on to electricity consumers will be calculated.
PPMC will share this information with Nepra, with a request to adjust it in consumer tariffs.
Nepra will then include the benefit in the FCA and carry out necessary due diligence.
It was noted that the benefit of the levy, collected in January, would be given to electricity consumers in the billing month of March, based on consumption in January.
In light of the above, the approval of the ECC was sought for passing on the benefit to all electricity consumers and for authorising the Power Division to implement the mechanism in consultation with Nepra under Section 31 of the Nepra Act.
Nepra will evaluate the monthly data provided by PPMC to determine the per-unit rate of the levy to be passed on to eligible consumers as per the approved mechanism and notify its determination every month along with the FCA.
The Ministry of Energy (Power Division) solicited approval of the ECC for the proposal.
The ECC considered a summary titled “Relief to Power Consumers on Account of Captives Transition Levy” and approved the mechanism.
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On International Women’s Day 2026, Equirus Wealth reports Indian women investors’ shift from fixed deposits and gold to equity mutual funds.
Women investors are steadily reshaping India’s financial landscape, with rising participation in stocks, mutual funds, and digital investing platforms.
On International Women’s Day 2026, a key trend of behavior change among female investors has emerged over the past five years, particularly in their investment choices across various financial products. Women are now more confident while investing in high risk but rewarding equity market, as the portfolio allocation in equity mutual funds surged from 10 per cent to 32 per cent, while down from 40 per cent to 20 per cent in Fixed Deposits (FDs).
The five-year study on women investors and relationship managers was conducted by Equirus Wealth Limited, and was published in a report titled “Expanding Horizons: Changing Wealth Management Behaviours of Indian Women – Qualitative Analysis of Investor Evolution Across Age and Affluence.”
The study reveals that women investors are increasingly moving away from episodic product purchases such as fixed deposits, gold and property towards diversified, allocation-driven portfolios anchored around long-term financial goals.
This reflects the major behavioural change from ‘safety-first’ investing to allocation-driven portfolio strategies.
Female Investors Adopting AI Cautiously
According to the report ,Artificial Intelligence may dominate global investment conversations, but Indian women investors are adopting it cautiously. They are using AI primarily as research and learning tool rather than for autonomous investment decisions.
Not Panicking During Corrections
Another interesting thing being revealed by the study is that 70-90% of investors hold or review their investments during market corrections rather than exiting in panic, showing maturity during market cycles.
At the same time, around 55% selectively add capital during market dips, reflecting growing conviction and a longer-term approach to investing.
Rise of “bucket investing”
Investors are increasingly dividing portfolios into buckets like safety, growth, liquidity and legacy instead of buying random financial products.
Risk is no longer seen only as loss of capital.
Investors now also consider inflation, goal failure, and portfolio drawdowns as risks.
75–90% are discussing intergenerational wealth transfer and financial discipline for the next generation.
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March 08, 2026, 14:14 IST
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Gold is sold at a discount in Dubai due to Middle East conflict disrupting flights. Traders offer up to $30 per ounce less than London prices.
Dubai Gold Selling Cheaper As Iran War Grounds Flights
Gold is being sold at a discount in Dubai as the widening conflict in the Middle East disrupts flights and hampers the movement of bullion from one of the world’s key trading hubs.
According to a Bloomberg report, traders in Dubai are offering discounts of up to $30 per ounce compared to the global benchmark price in London. The unusual price cut comes as shipments remain stranded due to flight disruptions triggered by the escalating conflict involving Iran and Israel.
Dubai is a key global centre for refining and exporting gold to markets across Asia, including India. However, partial airspace restrictions and heightened security risks have slowed the movement of bullion out of the region.
Why Gold Is Being Sold Cheaper
Gold is typically transported in the cargo holds of passenger aircraft. With several flights from the UAE restricted amid regional tensions, traders are struggling to move bullion to international markets.
At the same time, insurance and freight costs have surged, making shipments more expensive and uncertain. Many buyers have therefore stepped back from placing new orders, unwilling to bear high logistics costs without assurance of timely delivery.
To avoid paying prolonged storage and financing costs while shipments remain stuck, some traders are offering gold at discounted prices.
Although transporting bullion by road to airports in neighbouring countries such as Saudi Arabia or Oman is theoretically possible, logistics firms are reluctant due to the risks and complications of moving high-value cargo across land borders during a conflict.
What It Means For India
India, one of the largest buyers of gold shipped from Dubai, could face short-term supply disruptions if the situation continues.
Renisha Chainani, head of research at Augmont Enterprises Ltd., said several cargo shipments have already been delayed, creating temporary tightness in the availability of physical bullion in India.
However, industry experts as reported by Bloomberg say the immediate impact may remain limited as domestic inventories are currently comfortable after heavy imports earlier this year.
Chirag Sheth, principal consultant for South Asia at Metals Focus, said Bloomberg that India has ample stocks for now, but warned that prolonged disruptions could eventually affect supply if the conflict continues for several months.
Meanwhile, global gold prices have surged this year amid geopolitical uncertainty, with spot gold recently trading above $5,000 per ounce.
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Follow News18 on Google. Join the fun, play games on News18. Stay updated with all the latest business news, including market trends, stock updates, tax, IPO, banking finance, real estate, savings and investments. To Get in-depth analysis, expert opinions, and real-time updates. Also Download the News18 App to stay updated.
March 08, 2026, 10:03 IST
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Some seven in 10 British adults without a full driving licence say learning to drive is currently unaffordable, according to a survey.
The figure is even higher among younger people, with 76% of 18 to 29-year-olds without a licence saying driving lessons are financially out of reach, the poll for car insurer Prima found.
Overall, 38% said the cost of driving lessons was the biggest deterrent to learning to drive.
Some 32% were put off by the price of buying a car and 15% said the cost of car insurance was the main barrier to learning to drive.
Almost half (45%) said they would consider learning to drive if it became significantly cheaper.
Nick Ielpo, UK country manager at Prima, said: “For a growing number of people, driving is no longer a symbol of freedom – it’s a financial stretch too far.
“Between lessons, buying a car and insuring it, the upfront and ongoing costs are pricing many people out before they even start.”
Find Out Now surveyed 1,134 adults who do not hold a full driving licence between January 21 and 23.
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