Month: September 2024

Major Oil and Gas Reserves Found in Pakistani Waters: A Game Changer for the Energy Sector

Admin
oil price

KARACHI – In a potentially transformative development for Pakistan’s energy sector, significant oil and gas reserves have been discovered in the country’s territorial waters. A senior security official revealed that a three-year survey conducted in collaboration with a “friendly country” confirmed the presence of these substantial deposits. The discovery, hailed as a potential game-changer for the nation’s economy, could reduce Pakistan’s reliance on imported fuel and open up vast new opportunities in the energy sector. Survey and CollaborationThe official, speaking on condition of anonymity, explained that the survey was carried…

Read More

NA Informed of Rs296 Billion Net Hydel Profit Payments to Provinces Over 10 Years

Admin
Bhasha-Dam

ISLAMABAD: The National Assembly was informed on Thursday that a total of Rs296 billion has been paid to Khyber-Pakhtunkhwa, Punjab, and Azad Jammu and Kashmir (AJK) in net hydel profit over the last decade. Responding during the question hour, Minister for Water Resources Musadik Malik detailed that Rs216 billion had been paid to Khyber-Pakhtunkhwa, Rs73.45 billion to Punjab, and Rs6.4 billion to AJK. He also noted that outstanding balances amount to Rs36 billion for KP, Rs72 billion for Punjab, and Rs379 million for AJK as of March 2024. Malik explained…

Read More

China Resists Renegotiation of Capacity Tariff for IPPs Amid Pakistan’s $1 Billion Payment Delay

Admin
China-Pakistan

KARACHI: China has shown reluctance to renegotiate the capacity tariff agreements for Chinese Independent Power Producers (IPPs) operating under the China-Pakistan Economic Corridor (CPEC), citing delayed payments from Pakistan. Speaking at an event hosted by the All Pakistan Newspapers Society (APNS), Chinese Ambassador to Pakistan Jiang Zaidong emphasized that the capacity tariff was part of a universal arrangement made by the Pakistani government to support its power sector. Ambassador Jiang revealed that Pakistan has delayed payments amounting to $1 billion to Chinese IPPs, despite Chinese investments of $5.5 billion in…

Read More

Chinese Lenders Agree to Transition IPPs to Daily SOFR, Reject Term SOFR

Admin
power-gride

ISLAMABAD: In ongoing discussions regarding the transition from the London Inter-bank Offered Rate (LIBOR) to the Secured Overnight Financing Rate (SOFR), Chinese lenders financing Independent Power Producers (IPPs) under the China-Pakistan Economic Corridor (CPEC) have agreed to adopt daily SOFR but rejected the Term SOFR option. During a suo motu hearing by the National Electric Power Regulatory Authority (NEPRA), it was revealed that 22 IPPs had yet to submit their responses. NEPRA is reviewing the transition’s impact on consumers and the government. The shift from LIBOR to SOFR was approved…

Read More

Falling Oil Prices to Ease Pakistan’s Import Bill and Strengthen Forex Reserves

Admin
russia-oil

KARACHI: Pakistan’s external economy is benefiting from a 20% drop in global crude oil prices, as the reduced cost helps lower the import bill, build foreign reserves, and enhance the country’s debt repayment capacity. A report by JS Global titled “Oil Price Downturn – A Familiar Safety Net” highlights that global crude prices have fallen by $17 per barrel since April 2024, reaching a 15-month low of $72.9. This decline could allow the government to raise the petroleum development levy by Rs10 per litre to meet its fiscal target of…

Read More