The federal government says IPP renegotiations and the suspension of agreements with six independent power producers have generated Rs4.3 trillion in savings, according to Ministry of Energy figures presented to Parliament.
The ministry said the contracts were suspended following recommendations from a government task force reviewing power-purchase agreements to reduce electricity costs and the federal government’s financial burden.
The task force also examined contracts with several other power-generation companies, according to the information submitted to lawmakers.
The Ministry of Energy figures state that independent power producers received Rs6.4 trillion in payments over the past five years.
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Of that amount, IPPs received about Rs1.379 trillion during the final two years of the Pakistan Tehreek-e-Insaf (PTI) government, according to the parliamentary figures.
Payments under the current government have exceeded Rs3.709 trillion, the ministry said.
The six IPPs specify the period over which the claimed Rs4.3 trillion in savings will materialise, or provide a breakdown of suspended versus renegotiated contracts.
