Author: Admin

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…

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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…

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Govt Orders FIRs Against Grid Station Takeovers in KP

Admin
Power genration

ISLAMABAD: After months of cautious restraint, the federal government has decided to initiate legal action against the forced takeovers of grid stations in Khyber Pakhtunkhwa (KP), involving the deployment of Frontier Constabulary (FC) personnel to safeguard power infrastructure. Tensions between the federal PML-N government and KP’s PTI-led administration have escalated since the general election, with the issue being a major point of contention. Sources from the power division revealed that a directive was sent to the Peshawar Electric Supply Company (Pesco), ordering FIRs to be lodged against those responsible for…

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Govt Entities Owe Rs256.34 Billion to Power Distribution Companies

Admin
Power-sector

ISLAMABAD: The National Assembly was informed on Wednesday that federal, provincial, and Azad Jammu and Kashmir (AJK) governments collectively owe over Rs256.34 billion to power distribution companies (DISCOs) as of June 2024. Responding to a question from MNA Jam Abdul Karim Bijar during the Question-Hour, the Power Division disclosed the DISCO-wise breakdown of arrears. The federal government owes Rs47.811 billion, provincial governments Rs151.763 billion, and the AJK government Rs56.71 billion. The largest receivables from federal departments include Rs14.137 billion by IESCO and Rs6.673 billion by LESCO. For provincial government departments,…

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OMCs’ September Cargo Deferred, October Shipments to Be Canceled

Admin
Russian-oil

ISLAMABAD: Leading oil marketing companies (OMCs) have had their September cargoes deferred, with three scheduled for October set to be rationalized or canceled. If necessary, December cargoes will also be canceled. In a meeting on Wednesday with refineries and top-performing OMCs, the decision was made to address concerns about the excessive stock of high-speed diesel (HSD). Cargoes already in the country will be stored in bonded facilities and unavailable for sale until the end of September. The Petroleum Division has also requested a report on allegations from local refineries regarding…

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