ISLAMABAD: Prime Minister Shehbaz Sharif has assured that electricity tariffs will be further reduced for both domestic consumers and industries as part of ongoing reforms in the power sector. Chairing a review meeting on the energy sector, the prime minister expressed satisfaction over the progress of power sector reforms, stating that they are yielding positive results. He reaffirmed the government’s…
Read More
ISLAMABAD: The government has successfully renegotiated tariffs with 14 Independent Power Producers (IPPs), securing Rs813 billion in savings for consumers and addressing circular debt amounting to Rs329 billion. As part of the agreement, the IPPs have agreed to return Rs31 billion in excess profits, a reduction from the initial Rs55 billion claim. Additionally, the government has decided to close investigations…
Read More
The federal government is set to negotiate with private Independent Power Producers (IPPs), state-owned power plants, and solar and hydropower projects to reduce electricity tariffs by up to Rs. 12 per unit by March 2025. According to sources, negotiations aimed at lowering electricity costs are ongoing and are expected to be completed within the next six months. Talks involve all…
Read More
ISLAMABAD: Muhammad Ali, Special Assistant to Prime Minister (SAPM) on Power, has announced significant progress in renegotiating agreements with Independent Power Producers (IPPs) to address longstanding inefficiencies in Pakistan’s power sector. Speaking on Geo News’ special talk show “Aakhri Mauqa: Pakistan Kay Liye Kar Dalo”, Ali disclosed that 15 out of 18 IPPs established under the 1994 and 2002 power…
Read More
ISLAMABAD: The federal government has yet to appoint financial advisers (FAs) for three power distribution companies (Discos) and two generation companies (Gencos) earmarked for the initial phase of privatisation, drawing criticism from the Senate Standing Committee on Power. Presided over by Senator Mohsin Aziz, the committee expressed displeasure at the absence of Power Minister Awais Leghari and Secretary Power Dr.…
Read More
ISLAMABAD: The federal cabinet, led by Prime Minister Shehbaz Sharif, has approved revised settlement agreements with eight independent power producers (IPPs) operating on bagasse. This move is projected to save approximately Rs240 billion for the national exchequer and reduce electricity tariffs. The decision, based on recommendations from the Ministry of Energy’s power division, involves tariff adjustments for power plants, including…
Read More
ISLAMABAD: After extensive negotiations, the government task force on energy and 17 Independent Power Producers (IPPs) operating under the 1994 and 2002 Power Policies have reached an agreement on a hybrid ‘take and pay’ model. The deal marks a significant step toward addressing inefficiencies in power purchase agreements (PPAs) while reducing the financial burden on the national exchequer. The task…
Read More
ISLAMABAD: The government’s energy task force, led by Federal Energy Minister Sardar Awais Khan Leghari, has renegotiated Power Purchase Agreements (PPAs) with about a dozen Independent Power Producers (IPPs) established under the 1994 and 2002 Power Policies, according to official sources. The task force, comprising top officials and energy experts, is holding firm negotiations with IPPs to address issues related…
Read More
ISLAMABAD: Federal Energy Minister Awais Leghari announced significant reforms in the power sector on Friday, including the termination of agreements with Independent Power Producers (IPPs) to reduce electricity tariffs. Speaking at a briefing hosted by the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), he revealed that electricity rates could drop by Rs5 per unit following renegotiations with additional…
Read More
ISLAMABAD: M/s Sapphire Electric Company Limited (SECL) has raised concerns over what it claims to be the fourth instance of forced renegotiations of sovereign power contracts. The company’s CEO, Shahid Abdullah, suggested in a letter to Prime Minister Shehbaz Sharif that SECL would be willing to terminate its contract and forgo capacity payments if the government accepts its proposals. In…
Read More
