Engineering Post Report
More than three dozen Independent Power Producers (IPPs) are running power plants of varying strength in different parts of the country. Most of these IPPs have been established by the Chinese investors under the overall framework of China -Pakistan economic Corridor (CPEC).
IPPs have sought intervention of the Private Power and Infrastructure Board (PPIB) for releasing $ 758 million and facilitate their conversion of different currencies into dollars through the State Bank of Pakistan. Delays in conversion of different currencies such as Euros, Great Britain Pounds and Chinese Yuan into dollars are adversely affecting their ability to meet financial obligations towards project leaders, coal suppliers and contractors.
The IPPs established under CPEC which are seeking early conversion of their pending amounts totalling $ 758 million included China Hub Power, Port Qasim Electric Power Limited, Huaneng Shandong (Sahiwal), CNY, Engro Powergen Thar, Euro, Thar Coal Block-1 Power Generation Company Limited,Pak-Matiari Transmission Company Limited, Thal Nova Power Thar Limited, Karot Power Limited, , Attock Power Gen Limited, Rousch Power limited, Ha wa Power Limited, Jhimpir Power Limited, AJ Power Limited, three Gorges First wind Farm Pakistan Pakistan (Pvt) Limited, Metro Power Company Limited , Gul Ahmed Wind Power Limited, Tenega Generasi Limited, Hydro China Dawood Power Pvt Ltd , Tricon Boston Consulting Corporation Pvt Ltd and DIN Energy Ltd. Financial amounts figures have been avoided here for want of space, please.
IPPs were introduced more than two decades back to supplement and overcome power generation shortages in the public sector every now and then. The agreements with the IPPs have been subjected of discussion and concern for quite some time as the IPPs have to be paid for their power generation irrespective of the fact whether the power is utilized or not.
