Govt, IPPs reach accord to slash power tariff

[Morpheus]

Govt, IPPs reach accord to slash power tariff
Web Desk On Jan 9, 2021


ISLAMABAD: In a major development, a government team and independent power producers (IPPs) on Saturday reached an understanding on reduction in power tariff, ARY News reported.

According to the details, the negotiation between the government and the IPPs of renewable power plants held in Islamabad today during which the power producers agreed to reduce the power tariff. Sources said that the two sides would sign the MoU after the formal approval of the federal cabinet.

Sources said that the agreement would also help reduce the country’s circular debt. Both the sides agreed on amendments in the companies act in the wider interest of the country, the sources added.

Under the agreement, the government would help the IPPs in generating maximum electricity from solar sites.

Earlier on November 3, industries would get power at half the tariff from then on which will save them about Rs21 billion collectively in production costs, ensuring an impetus for industrial growth and job creation, federal energy minister Omar Ayub had said.

Talking to ARY News program Power Play, the federal minister, expanding on Prime Minister’s package announced earlier that day, had said the bracket to benefit the most from industrial relief package is of small industrialists.

Govt, IPPs reach accord to slash power tariff

In a major development, a government team and independent power producers (IPPs) on Saturday reached an understanding on reduction in power tariff.

arynews.tv

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[TheSnakeEatingMarkhur]

Govt, IPPs reach accord to slash power tariff
Web Desk On Jan 9, 2021


ISLAMABAD: In a major development, a government team and independent power producers (IPPs) on Saturday reached an understanding on reduction in power tariff, ARY News reported.

According to the details, the negotiation between the government and the IPPs of renewable power plants held in Islamabad today during which the power producers agreed to reduce the power tariff. Sources said that the two sides would sign the MoU after the formal approval of the federal cabinet.

Sources said that the agreement would also help reduce the country’s circular debt. Both the sides agreed on amendments in the companies act in the wider interest of the country, the sources added.

Under the agreement, the government would help the IPPs in generating maximum electricity from solar sites.

Earlier on November 3, industries would get power at half the tariff from then on which will save them about Rs21 billion collectively in production costs, ensuring an impetus for industrial growth and job creation, federal energy minister Omar Ayub had said.

Talking to ARY News program Power Play, the federal minister, expanding on Prime Minister’s package announced earlier that day, had said the bracket to benefit the most from industrial relief package is of small industrialists.

Govt, IPPs reach accord to slash power tariff

In a major development, a government team and independent power producers (IPPs) on Saturday reached an understanding on reduction in power tariff.

arynews.tv

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Best way to move forward.. but govt should move towards making WAPDA more advanced..

 

[ziaulislam]

Govt has 300b rupees whole
It will probably need to plug that whole via
Renogiating prices
Effiency
Subisdy

 

[[--Leo--]]

waiting for details

 

[Syed1.]

waiting for details

Payment in 3 installments within year: Roadmap delineated for IPPs

ISLAMABAD/KARACHI: The federal government has reportedly given consent to pay the agreed amounts to clear the dues ...

www.brecorder.com

 

[Morpheus]

Bagasse-based IPPs agree with Govt to cut power tariffs
Web Desk On Jan 10, 2021 Last updated Jan 10, 2021

ISLAMABAD: After solar-based independent power producers (IPPs), bagasse-based IPPs have also agreed to sign amended power purchase agreements with the government, citing sources ARY News reported on Sunday.

The signing of the amended purchase agreements will slash the existing tariffs to a considerable extent.


The bagasse-based IPPs have agreed to sign the amended power purchase agreements with a government team of officials negotiating with the IPPs over tariffs, sources said.

pic.twitter.com/fd9HbbZqG1
— ARY News (@ARYNEWSOFFICIAL) January 10, 2021

Eight bagasse-based IPPs will sign amended deal of power tariff with the government according to sources.
Sources said that both sides will sign the amended power purchase agreement after endorsement from the federal cabinet.

The new power agreement will also required approval from the governing boards of the bagasse-based IPPs, sources added.

The solar-based IPPs that had signed memorandums of understanding (MoUs) in August 2020 had recently reached to an agreement with the government negotiation team for signing amended agreement to slash power tariffs.
It is to be mentioned here that a negotiation team of the government is currently in talks with IPPs over their dues payment mechanism and signing the amended PPAs.

 

[bafxet]

Good news... but why has Tabish Gohar left...rumors are floating that he didn't want to squeeze more out of IPPs, which GoP didn't want.

 

[Morpheus]

18 more IPPs agree to govt’s terms for cheap electricity
Web Desk On Jan 31, 2021

ISLAMABAD: The energy ministry has announced contracts with 18 new independent power producers (IPPs) including wind power units, for cheaper electricity in the country, ARY News learned Saturday.

According to the details on the development shared by sources, the government team has had successful deals with 18 new IPPs, including Kot Addu Power Company (KAPCO) for 1600 Mega Watt generation, for affordable electricy.

All 18 IPPs have agreed to signing government contracts out of which 17 are wind power units.
According to the contract, which is set to be signed between the government and these IPPs, slash in tariffs and other concessional terms have been concurred.

After the federal cabinet has consented to these contracts with IPPs, the official signing will take place instant, ARY News was told.

With these new 18 IPPs, the government has convinced about 41 IPPs, out of 47 that it talked to, for concessional terms and economical power supply.

It may be noted that earlier last week, the energy ministry hiked electricity tariffs by Rs1.95 per unit which it claimed is due to a hefty circular debt thanks to previous governments.

We could jack the prices by Rs2.18 per unit but we did not want to “burden the masses” so we only increased 23 per cent in tariff, said the federal minister for energy Omar Ayub in a joint presser today accompanied by the federal planning minister Asad Umer and Prime Minister’s aide on energy Tabish Gauhar.

18 more IPPs agree to govt's terms for cheap electricity

The government team has reportedly had successful deals with 18 new IPPs, including KAPCO for 1600MW generation, for affordable power

arynews.tv

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[Morpheus]

Six more IPPs agree to govt’s terms for cheap electricity

Web Desk On Feb 2, 2021

ISLAMABAD: The incumbent government of the Pakistan Tehreek-e-Insaf (PTI) has reached another milestone, as talks with six more independent power producers (IPPs) for cheaper electricity in the country remained successful.

According to the details, the government team had successful deals with six new IPPs for affordable electricity. So far 47 IPPs with an overall production capacity of 7450MW electricity have agreed to sign the agreement with the government for a cheaper power supply to the consumers.

After the federal cabinet, and the Economic Coordination Committee’s (ECC) approval, the official contracts signing will take place instantly.


It may be noted that earlier last week, the energy ministry hiked electricity tariffs by Rs1.95 per unit which it claimed is due to a hefty circular debt thanks to previous governments.

We could jack the prices by Rs2.18 per unit but we did not want to “burden the masses” so we only increased 23 per cent in tariff, said the federal minister for energy Omar Ayub in a joint presser today accompanied by the federal planning minister Asad Umer and Prime Minister’s aide on energy Tabish Gauhar.

Six more IPPs agree to govt’s terms for cheap electricity

So far 47 IPPs with an overall production capacity of 7450MW electricity have agreed to sign the agreement with the government for a cheaper power supply.

arynews.tv

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[bafxet]

A seigh of a bit relief. I can recall back in 1999 we were in similar situation when power tariff was renegotiate with Habco etc etc.

Our policy maker lack wisdom or the right people are not at the right positions. Like exportering sugar and than importing it back.