Fuel charges adjustment: NEPRA notifies Rs4.74 hike in electricity price

[Patriot forever]

interesting share

is this the reason why we have a sky rocketing Circular debt ?

FO is cheaper than the spot RLNG rate at prevailing rates. ( The merit order system previously took the combined value of both long term and spot rates, it worked okay before but with the recent surge in spot LNG it was segregated to limit the consumption of spot LNG in power generation by considering it separate for such circumstances as it was more expensive than other other sources of generation).


2nd and the more important point is,
Our FO consumption is less as compared to previous years in power generation, the fact is stocks are piling with our old refineries. It was okay when petrol or diesel consumption was less as refineries produced less FO as byproduct, but the recent surge in petrol and diesel consumption FO if not lifted and consumed will shut down our refineries.

Refiners warn of petrol, diesel shortfall if FO remains unlifted

KARACHI: A severe petrol as well as diesel shortfall looms larger than ever as refineries are on the verge of closing/cutting crude oil processing because of a massive slump in the offtake of...

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