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Closure of inefficient power plants

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ISLAMABAD:

A high-level meeting on power sector reforms convened here on Wednesday debated the issue of circular debt and a roadmap to advance the issues agreed with the plans of independent power producers (IPP ) to improve the performance of various electricity distribution companies (Discos). .

The meeting was informed that some underperforming power plants with a generating capacity of 1,794 megawatts of electricity were being shut down immediately, while other plants with a capacity of 1,875 MW would also be shut down with the privatization of 1,872 MW in the next two years.

Prime Minister Imran Khan chaired the meeting, which was also attended by Federal Ministers Shibli Faraz, Asad Umar, Umar Ayub Khan, Muhammadmian Soomro and Dr Farogh Naseem, Financial Advisor Dr Hafeez Sheikh, Special Assistants to Lieutenant General (retired) Asim Saleem Bajwa, Nadeem Babar, Shehzad Qasim, Dr Shehbaz Gill and senior officials from relevant ministries.

In his remarks on the occasion, the Prime Minister said that the people face the burden of past decisions regarding the power sector, mismanagement and corruption, etc. Stressing the importance of advancing the issues agreed with the PPIs, he said circular debt reduction would directly benefit the masses.

Imran said the government is working to make the subsidy system transparent and fair on a priority basis. He called for the rapid finalization of the energy sector subsidy system reforms so that deserving and poor people can be helped.

The prime minister said the reform process in the energy sector was the top priority of the government, therefore meetings to review progress in this regard would be held every week. He ordered that the masses be regularly updated on matters relating to the energy sector.

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