ISLAMABAD: Pakistan and Chinese power companies are set to sign agreements on debt reprofiling and a moratorium on over $16 billion in payments during Chinese Premier Li Qiang’s upcoming visit, sources from the Private Power and Infrastructure Board (PPIB) have revealed. The agreements, involving nine power projects and one transmission line under the China-Pakistan Economic Corridor (CPEC), will aim to…
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Pakistan to Share Comprehensive Wish List of Projects with Chinese PM for Second Phase of CPEC
ISLAMABAD: Pakistan has finalized a comprehensive wish list of over six dozen projects across various sectors for Chinese cooperation under the second phase of the China-Pakistan Economic Corridor (CPEC). The list is set to be shared with the Chinese Prime Minister during a key meeting next month, according to sources from the Ministry of Planning, Development, and Special Initiatives. Following…
Read MoreTowards Green Energy: Leveraging CPEC for Pakistan’s Climate Goals
Pakistan faces immense challenges in addressing its climate crisis, with the World Bank estimating a need for $348 billion by 2030 to meet climate adaptation and mitigation goals. Of this, $152 billion is allocated for adaptation and resilience, while $196 billion is needed for decarbonization. The nation’s 2021 Nationally Determined Contributions set an ambitious goal of reducing projected emissions by…
Read MoreChina Resists Renegotiation of Capacity Tariff for IPPs Amid Pakistan’s $1 Billion Payment Delay
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…
Read MoreCall for CPEC to Become a Model Green Belt Initiative
LAHORE: The President of the Pakistan-China Joint Chamber of Commerce and Industry (PCJCCI), Moazzam Ghurki, has called for transforming the China-Pakistan Economic Corridor (CPEC) into a model green Belt and Road Initiative (BRI) to safeguard the natural environment in the region. Speaking at a think tank session held at the PCJCCI on Thursday, Ghurki highlighted that such a transformation would…
Read MorePPIB Urges SBP to Release $758 Million for IPP Payments
ISLAMABAD: The Private Power & Infrastructure Board (PPIB) has called on the State Bank of Pakistan (SBP) to allocate $758 million for foreign payments of power projects, many of which are under the China-Pakistan Economic Corridor (CPEC) framework. Managing Director of PPIB, Shah Jahan Mirza, in a letter to SBP Governor Jameel Ahmed, highlighted concerns from Independent Power Producers (IPPs)…
Read MoreChina Demands More Fiscal Incentives as Dues from Pakistani Projects Hit Rs529 Billion
Islamabad: Amid mounting concerns over Chinese investments in Pakistan, outstanding dues from Chinese power plants have reached a staggering Rs529 billion, reflecting a strained financial relationship. Beijing is pushing for enhanced fiscal benefits within the China-Pakistan Economic Corridor’s (CPEC) Special Economic Zones (SEZs) to bolster investment. The first meeting of the Cabinet Committee on Chinese Investment Projects (CCoCIP) highlighted Pakistan’s…
Read MorePower Division Authorized to Withdraw Rs4 Billion from PERA for Chinese IPP Payments
ISLAMABAD: The Finance Division has granted permission to the Power Division to withdraw Rs4 billion from the Pakistan Energy Revolving Account (PERA) for the exclusive payment to Independent Power Producers (IPPs) under the China Pakistan Economic Corridor (CPEC) for January 2024, according to reliable sources. On February 7, 2024, the Power Division sent an Office Memorandum (OM) to the Finance…
Read MoreChinese IPPs’ Dues Soar to Record $1.8 Billion, Straining Pakistan-China Relations
ISLAMABAD: Pakistan’s outstanding dues to Chinese-backed power projects under the China-Pakistan Economic Corridor (CPEC) have surged to a record Rs493 billion or $1.8 billion as of last month, marking a staggering increase of 77% within seven months. The significant rise in dues during the caretaker government’s tenure poses a serious challenge for Pakistan’s economic ties with Beijing. Sources revealed to…
Read MorePPIB to Review Progress of Azad Pattan Hydropower Project Tomorrow
The Private Power Infrastructure Board (PPIB) is set to convene a meeting tomorrow to assess the status of the Azad Pattan Hydropower Project, a 770.7 MW venture located on the River Jhelum, jointly developed by a Chinese company. The project, spearheaded by Azad Pattan Power Pvt Limited (APPL), a subsidiary of China Gezhouba Group, has faced delays, prompting the PPIB…
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