The financial advisers have asked the government to finalize the gas-sale and power purchase agreements, debt recapitalization, and payment mechanism to minimize delays in the sale of Haveli Bahadur Shah and Balloki power plants to Qatar, reported Dawn News.
The two power plants are owned and operated by the National Power Parks Management Corporation Limited (NPPMCL).
The government had engaged Qatar for the sale of two LNG-based power plants — the 1,223MW plant in Kasur’s Balloki area and the 1,230MW Haveli Bahadur Shah plant in Jhang — on a government-to-government (G2G) basis to fulfill the condition of securing external financing put forth by the International Monetary Fund (IMF).
Credit Suisse Singapore, the financial advisers of NPPMCL, has informed the government that the finalization and execution of the security package — involving gas sale, power-purchase, and implementation agreements (GSA, PPA, and IA) — and the resolution of central issues affecting privatization, particularly payment of receivables, are impeding the NPPMCL transaction process. Credit Suisse has been associated with the transaction since April 2019.