Energy revolving debt reached the highest level in the country
ISLAMABAD: The revolving energy loan has reached the highest level in the history of the country.
According to sources, when the government came to power on August 18, 2018, the revolving energy debt was Rs 1100 billion, which on November 13, 2020, has gradually increased to Rs 2400 billion.
Water and power sources say the rise in revolving credit has increased the risk of a decline in foreign direct investment in the country.
Internal sources in the Ministry of Water and Power have revealed that the government has made fruitful the six-week-long negotiations with independent power producers to bring down the revolving credit, which will make IPPs cheaper but newer. Concerns are also being raised among the owners of incoming private sector IPPs.
In particular, China’s multibillion-dollar power generation companies, including the world’s largest dam company Three Gorges, which built the world’s largest 30,000-megawatt hydroelectric dam in China.
The company has expressed concern that we are building seven major hydropower projects.