The Power Division has notified 8-member committee headed by the Advisor on Finance and Revenue Dr Abdul Hafeez Shaikh to give effect to the memorandums of understanding (MoUs) signed with independent power producers (IPPs) and their conversion into binding contractual agreements and devising a mechanism for settlement of outstanding dues of IPPs.
According to the notified terms of references (ToRs), the committee will be responsible for undertaking all actions required to give effect to the MoUs as well as their conversion into binding contractual agreements, within the timeline agreed in the MoUs, including but not limited to coordination with all relevant ministries, institutions, authorities and other stakeholders, the newspaper reported.
For the IPPs which have not signed any MoU, the committee will have the power to make contractual arrangements along the same principles those IPPs which have signed MoUs.
The federal cabinet constituted the committee on September 29, 2020 to take further actions on implementations of negotiations outcomes with IPPs.
The committee included Adviser to the Prime Minister on Finance & Revenue as the Chairman, Special Assistant to the Prime Minister on Power, Minister for Energy, Federal Land Commission of Pakistan Chairman Babar Yaqoob Fateh Muhammad, Power DivisionSecretary, Finance Division Secretary, Barrister Qasim Wadud, and Central Power Purchasing Agency Guarantee Ltd CEO as members, with the last name also nominated as the Committee Secretary.
The committee will take necessary action for revision of tariff through NEPRA pursuant to relevant terms of MoUs and monitor amendment of the Power Purchase Agreements (PPAs) and other relevant agreements pursuant to MoUs and revised tariff determination.
For these purposes, the committee may co-opt experts or officers from any government department, institution, agency, regulatory body, or from the private sector, and it may also seek information from public and private sector organizations and regulatory bodies if required.