ISLAMABAD: Chinese Ambassador to Pakistan Nong Rong called on Federal Minister for Power Engr Khurram Dastgir Khan and discussed financial and other administrative issues being faced by the Chinese power sector companies.
The ambassador reached Power Division to hold a detailed meeting with the minister days after formation of an inter-ministerial standing committee to sort issues of Chinese Independent Power Producers (IPPs) facing default in payment to coal suppliers. The stock of receivables of Chinese companies is over Rs 300 billion.
Terms of References for Committee will be as follows: (i) to reconcile out-standing payments and prepare a schedule of payments; (ii) to assist the IPPs in resolution of any other matter pertaining to any other federal or provincial government; (iii) the committee will meet fortnightly and share minutes with PM Office; and (iv) the Committee, if deemed necessary, may add ToRs under intimation to PM Office.
Chinese IPPs that have written letters to the Power Division or its attached organizations, also copy those letters to their embassy.
According to an official statement, Power Minister welcomed the Ambassador and expressed his reverence for Pak-China friendship. He remarked that back in 2014, no other country was willing to invest in Pakistan, but Pakistan’s friendship with China has stood the test of time. The Chinese investment in power sector is of immense importance.
Both parties noted the importance of hydro power projects under CPEC and agreed to expedite the ongoing projects.
The statement further added that the Ambassador appreciated the present government for their commitment towards CPEC and continuous engagement. He emphasized that this continued association will bear fruit for Pak-China friendship and improve the investment environment for Pakistan.
During a recent meeting, Finance Minister briefed the IPPs about the reasons for delay in payment and the plan to pay outstanding dues. The Chinese IPPs highlighted their payment obligations and pending dues. They also pointed out the difficulties in foreign remittances to discharge their liabilities.
Copyright Business Recorder, 2022
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