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Receivables of eight IPPs reach Rs61.401bn

The receivables of eight independent power producers (IPPs) against the government have reached Rs61.401 billion, while receivables of Pakistan State Oil (PSO) have crossed Rs185 billion, sources said on Monday.

These eight IPPs have decided to move court for the dues after government committed default of its sovereign guarantee.The receivable of Rs61.401 billion included the capacity payment of Rs19.379 billion, energy payment of Rs37.846 billion and other payments of Rs4.176 billion, the sources said

Atlas Power is yet to receive Rs10.478 billion; Nishat Power Rs9.661 billion; Nishat Chunian Rs10.899 billion; liberty Tech Rs11.131 billion; Orient Power Rs4.121 billion; Saif Power Rs5.722 billion; Halmore Power Rs2.415 billion and Sapphire Electric is to receive Rs6.974 billion, the sources said.

The government’s liability towards other IPPs stands at Rs210.4 billion, they said, adding that despite the fact that the energy deficit has reached 8,000MW and IPPs operating at minimal capacity due to liquidity crunch, the prime minister has postponed the energy committee meeting till next week.

The prime minister reviewed the power outages position last week and advised the energy committee to come back after a week with the solutions to reduce power outages.In the meeting, the ministry of water and power said that the shortfall was 3,500MW and hydel was generating 4,500MW against the capacity of 7,000MW, the sources said.

They added that this statement gave the finance team an excuse that the hydel production might reach its capacity in the next two weeks so that the shortfall would be met or remain at less than a 1,000MW.

“This idea also helped the prime minister to shift the meeting for one week so that any payment to reduce the power outages could be avoided,” the sources claimed.

“We do not have the luxury to postpone any decision regarding reducing power shortage, enabling the industries to produce and give jobs to the jobless,” the sources added.The new energy minister has created no difference in the situation. He made only one big decision to remove the managing director of NTDC, who hopefully would be back in a few days as the sources disclosed.

Once the eight IPPs submitted the request for recovery of their dues before the court, the other IPPs will tend to join that would ruin the government’s reputation and put a full stop to the investment, particularly in the energy sector.

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