In his written reply during the question hour, the minister said the payment of circular debt depended on collection from electricity distribution companies, based on their recoveries from consumers, which was a continuing process. “The circular debt payable to Independent power producers (IPPs) as on December 31, 2018 was Rs683,484 million, while the amount payable to fuel suppliers by thermal power plants (Gencos) is Rs124,403 billion,” the minister told the house. Khan said that the government was striving to gradually manage the outstanding amount of circular debt. “The payment of circular debt depends on collection from electricity distribution companies, based on their recoveries from consumers, which is a continuing process,” he said. “The AEDB is pursuing the development of renewable energy-based power generation projects through private sector on IPP mode under the Renewable Energy Policy, 2006,” he said.

Source: The Express Tribune January 23, 2019 18:45 UTC