ISLAMABAD: The Cabinet Committee on Energy (CCoE) has decided that in order to provide fair and a level-playing field to new LNG terminals, the existing available capacity in pipeline will be allocated to any applicant including CNG, meeting the requisite criteria for three months rolling basis till such time the new terminals achieve commercial operations date.
The Power Division also informed the CCoE that out of 47 MoUs the implementation committee has agreed payment mechanism with 44 Independent Power Producers (IPPs).
The CCoE met with Federal Minister for Planning, Development, and Special Initiatives, Asad Umar in the chair here Thursday.
The CCoE in its meeting considered the report of the sub-committee constituted by the CCoE vide its decision dated 18.01.2021 regarding allocation of pipeline capacity to new LNG terminals.
The Power Division submitted the summary on payment mechanism and agreement with the IPPs.
The Power Division secretary briefed the Committee on the proposed mechanism.
Certain members of the Committee sought more time to study the proposals in detail.
It was therefore decided that the committee would be reconvened on 8th February for a final decision in the matter.
The Power Division presented the latest circular debt status and the projections.
The CCoE was briefed about the situation of circular debt from July 2020 to December 2020.
The committee notes that the projected circular debt accumulation is decreasing as a result of the Circular Debt Management Plan being implemented by the government.
The committee appreciated the efforts of the Power Division for regular monitoring of the circular debt situation, and directed them to timely issue the monthly data for the committee to review.
The meeting was attended by Minister for Energy Omar Ayub Khan, Federal Minister for Information and Broadcasting Shibli Faraz, Federal Minister for Maritime Affairs Syed Ali Haider Zaidi, Advisor to the Prime Minister on Finance Abdul Hafeez Sheikh, SAPM on Petroleum Nadeem Babar, and officials of various divisions.
Copyright Business Recorder, 2021