ISLAMABAD: Federal Minister Awais Ahmed Leghari on Wednesday highlighted the need of reforms in energy sector.
Addressing a gathering Awais Leghari said that the country’s power sector faces many problems and required energy reforms.
Energy minister said that Pakistan has reservations with regard to the Independent Power Producers (IPPs).
Leghari said an absence of strategy has been the reason of expensive electricity. “Consumers are bearing the burden of high interest rate and circular debt”, he said.
He said EV charging stations will be made across the country, petroleum imports will be decreased.
Energy minister said that 10 power distribution companies will privatize by the end of current year.
He said the electricity could become as cheaper as 10 rupees per unit with reforms adding that the power tariff can be reduced for industries.
Well-informed sources on Tuesday said that the Task Force on IPPs has completed its work.
The owners of four independent power producers (IPPs) set up under the 1994 policy and another, established under the 2002 policy, have been warned of consequences if they won’t terminate the power purchase agreements (PPAs) voluntarily, sources said.
The task force has asked the owners of the IPPs to end capacity charges payment and charge against the power supplied to the government only.
The Independent Power Producer owners have also been warned of forensic audit if they continue to go with the present PPAs, the sources said.
Earlier on September 22, the government sources made startling disclosures about the negative role of some of the country’s IPPs that have damaged the national economy. –Agencies
