15 independent power producers (IPPs) have started invoking their sovereign guarantees to recover their unpaid bills of more than Rs66 billion by serving final notice on the National Transmission and Despatch Company (NTDC) and the government.
Sources said that notices were served on Tuesday after the failure of the government to “pay off the debt in two weeks as promised by Water and Power Minister Khawaja Asif” in his meeting with IPP officials on May 29.
This is the second time that IPPs have initiated process to revoke their sovereign guarantees for recovery of their unpaid bills, which is referred to as inter-corporate debt of power sector or more commonly as circular debt.
