PSO had been supplying furnace oil to feed power plants, but the government abruptly abandoned its use in electricity production. As a result, PSO is now facing a financial crunch as power plants are unable to clear dues of billions of rupees. In order to facilitate uninterrupted power generation and minimise load-shedding, PSO says it has ensured smooth fuel supply to the power producers on credit. As of November 29, 2017, total receivables of PSO from the power producers swelled to Rs195.5 billion including Rs64.40 billion accumulated after the start of a seven-day credit arrangement. However, PIA is not making payments and as a result the receivables have jumped to Rs13.8 billion.

Source: The Express Tribune December 12, 2017 04:25 UTC