ISLAMABAD: The Pakistan Petroleum Limited (PPL) has sought advice from Ministry of Energy (Petroleum Division) on future mode of allocation of gas to 747 MW Combined Cycle Power Plant (CCPP) whose new name is Guddu Power Company Limited (GPCL) which is now on active list of privatisation, sources told Business Recorder.
According to Managing Director PPL, the company is in receipt of a letter from CEO CPGCL on February 27, 2025 titled “Novation of buyer’s name in Gas Sale Agreement (GSA) and Pakistan Petroleum Limited (PPL) from Central Power Generation Company Ltd (CPGCL)” stating that 747 MW Combine Cycle Power plant has been included in active privatisation list. The Government of Pakistan has changed the name of power plant to Guddu power Company (Pvt) Limited in the existing agreement between CPGCL and PPL.
He further stated that PPL sent various requests regarding de-allocation of gas, clearance of outstanding payments as approved by Inter Ministerial Committee (IMC) of Power and Petroleum Division in relation to Kandhkot field which are pending with Ministry of Energy at the moment. Further, PPL has not received any instructions from MoE regarding the matter of privatisation and incorporation of Guddu Power Company (Pvt) Ltd.
The Gas Company has sought Director General (Gas)Petroleum Division’s advice on the following: (i) will gas already allocated to TPSG be applicable on 747 MW Combined Cycle Power Plant Guddu Power Company (Pvt.) Ltd; and (ii) what will happen to the outstanding payment of liabilities on the part of CPGCL before changing the Buyer’s name to Guddu Power Company (Pvt.) Limited in the existing GSA between PPL and CPGCL; and (iii) what will be the applicable price!
Earlier, in a letter to Managing Director, PPP, CEO CPGCL had intimated that 747 MW Combined Cycle Power Plant (CCPP) is currently included in the active privatisation list. The GoP has changed the name of 747 MW Power Plant as “Guddu Power Company(Private) Limited.” In this regard, certificate of incorporation has been granted by the Securities and Exchange Commission of Pakistan from February 26, 2025. As a result, all agreements involving the Company’s affairs will reflect this new name.
The CEO CPGCL requested Managing Director PPL that the name of the buyer may be amended as “Guddu Power Company (Private) Limited “in the existing agreement between CPGCL and PPL.
As per the directives of Privatisation Commission, the matter is to be taken on the fast track basis, and CPGCL proposed a meeting to discuss and finalize the matter on urgent basis.
Copyright Business Recorder, 2025
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