New Energy Policy: Govt. to end black out in 3 years..

[yazdi]

Re: New Energy Policy: Govt. to end black out in 3 years..

@Silaaj

A very aggressive policy on paper. Switching to hydel is good, but that is a long term project, so on a national scale, I dont see that happening in 3 years or even 5 years. But nonetheless, it is a good step forward.

However, sadly enough, there is no change in the IPP agreements regarding tariff structures. The owners of the IPPs voted down any change in that, and the govt in the interim, will continue to pay exorbitant amounts based on generational capacity, rather than power produced. It is also being said that this amount will be forfeited from the NFC amount for each province. This smells very bad. Business lobbies have always had their way with things when PML-N is in power.

In fact it’s totally an anti lobby policy. Captive Power plant operators have a very strong lobby with Aptma as the front runner. They get electricity for less than Rs. 6/ per unit through cheap gas generation. The total subsidy to this sector is more than Rs. 500 billion per annum. The other lobby is the CNG station owners who have bribed the government billions for the gas supply.

IPPs now get payments without producing electricity. Most of them show enhanced capacities compared to their actual generating capacities. How will they benefit if the have to actually produce electricity and get payments on their actual supplies. When fuel differential will be passed on to the consumer these IPPs will have to actually generate electricity and supply to national grid..