GENCOs Default to PSO, SNGPL Irks Minister
By Salman Khan
ISLAMABAD: Petroleum Minister Ali Pervaiz Malik has raised alarm over GENCOs’ failure to clear dues owed to Pakistan State Oil (PSO), Sui Northern Gas Pipelines Limited (SNGPL), and Pakistan Petroleum Limited (PPL). He voiced his concern during a recent meeting of the Cabinet Committee on Energy (CCoE), chaired by Prime Minister Shahbaz Sharif.
The Power Division minister, who earlier claimed a significant reduction in circular debt, assured the committee that the matter would be addressed and payments would be made.OGDCL Makes Oil Discovery in Sindh
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During the meeting, the Minister for Petroleum highlighted that GENCOs No. 2 and 3 had not paid their arrears to PSO, SNGPL, and PPL. The Minister of Power responded that the issue would be resolved promptly.
The meeting was also informed that Circular Debt Reports had been regularly shared with NEPRA, the IMF, and the Finance Division throughout FY 2024-25. In line with the Prime Minister’s directions, the Power Division submitted verified data on circular debt for consideration by the CCoE.
The Power Division reported that through consistent efforts and improved governance of DISCOs, the circular debt had been reduced from Rs. 2,393 billion in FY 2024 to Rs. 1,614 billion in FY 2025. Annual losses by DISCOs also dropped from Rs. 591 billion to Rs. 397 billion during the same period.
Prime Minister Shahbaz Sharif appreciated the efforts of the Power Division, praising the Minister and Secretary Power and their team for reducing both the circular debt and DISCOs’ annual losses. He also lauded the work of the newly appointed DISCOs’ managements, led by LESCO, for steering the power sector toward financial viability.
The CCoE acknowledged these achievements and directed that the contributions of all concerned officials be publicly recognized, with commendation certificates issued accordingly.
