One of the major contributors to the continuing energy shortages is the failure to operate at capacity with the intractable inter-circular debt rising in spite of the periodic issuance of Term Finance Certificates (TFCs). The circular debt continues to rise, however, the interest payable on the TFCs has implied higher allocation: from Rs 40 billion earmarked for 2010-11 to Rs 55.7 billion in 2011-12.