Shareholders of Rousch (Pakistan) Power Limited (RPPL)] have approved the early termination of their Power Purchase Agreement (PPA) with the federal government.
The shareholders have authorized the management to execute a Negotiated Settlement Agreement in this respect.
Major terms of the Negotiated Settlement Agreement are as follows:
- To terminate the Agreements, which were scheduled to expire in 2032, with effect from October 01, 2024.
- Receivables agreed between the parties as on September 30, 2024, will be paid by Central Power Purchase Agency (Guarantee) Limited (“CPPA”) by December 31, 2024.
- RPPL shall hand over the Complex to the Government by December 31, 2024.
Under the terms offered recently, RPPL will be paid its receivables by the off-taker, CPPA, and its Complex will be handed over to the Government as per the terms of the PPA.
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