ISLAMABAD: Pakistan’s power sector circular debt has reached Rs 2.551 trillion during first half of current fiscal year (July- December) 2023-24 against Rs 2.536 trillion during the same period of 2022-23.
According to a government document, total payables to the power producers stood at Rs 1,673 trillion, followed by Rs 112 billion to generation companies’ (Gencos) payables to fuel suppliers, and Rs 765 billion as the amount parked in Pakistan Holding Limited (PHL) in fiscal year 2023-24. The unclaimed subsidies were reduced by zero in the fiscal year 2023-24.
Meanwhile, the independent power producers’ (IPPs) interest charges on delayed payment were 58 billion during first half of 2023-24 dropped from Rs 85 billion during same period of 2022-23
The pending generation cost, which is made up of quarterly tariff adjustments (QTA) and fuel charge adjustments (FCA), increased to Rs 187 billion in July-December 2023-24 from Rs 118 billion during the same period of 202-23. The dues pending on the part of K-Electric fell from Rs 91 billion to negative Rs 9 billion
However, the power distribution companies’ (Discos) losses due to inefficiency rose to 77 billion during first half of 2023-24 from Rs 62 billion in 2022-23.
Discos under recoveries have also increased to Rs 149 billion during July- December 2023-24 from Rs 144 billion of 2022-23.
The amount of other adjustments (prior year recovery, etc.) has declined to – 74 billion from –Rs 246 billion during same period last year.
Payable to power producer increased by Rs 5 billion due to withdrawal by FBR in April-23, whereas Rs 336.4 billion is receivable from K-Electric as on December 2023.
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