KARACHI: Pakistan’s biggest private utility, Hub Power Company Ltd, unveiled on Thursday the premature termination of a pact for the government to buy power from a southwestern generation project.
The government and market operator the Central Power Purchasing Agency (CPPAG) agreed to settle the company’s outstanding receivables up to Oct 1, it told the Pakistan Stock Exchange in a notice.
The step comes after Power Minister Awais Leghari told Reuters last month the government was re-negotiating deals with independent producers to rein in electricity tariffs as households and businesses buckle under soaring energy costs.
The company said its board approved an accelerated expiry date of Oct. 1 for the deal, instead of an initial date of March 2027, in an action taken “in the greater national interest.”
A decade ago, Pakistan approved dozens of private projects by independent power producers (IPPs), financed mostly by foreign lenders, to tackle chronic shortages.
But the deals, featuring incentives such as high guaranteed returns and commitments to pay even for unused power, ultimately resulted in excess capacity after a sustained economic crisis slashed consumption.
Short of funds, the government has built those fixed costs and capacity payments into consumer bills, sparking protests by domestic users and industry bodies.
The need to revisit power deals was a key issue in talks for a critical staff-level pact in July with the International Monetary Fund (IMF) for a $7-billion bailout.
Pakistan has begun talks on reprofiling power sector debt owed to China and structural reforms, but progress has been slow. It has also vowed to stop power sector subsidies.
Pakistan’s biggest private utility says government power deal ends prematurely
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Pakistan’s biggest private utility says government power deal ends prematurely
- Hub Power Company says board approved an accelerated expiry date of Oct. 1 for the deal instead of an initial date of March 2027
- Step comes after Power Minister Awais Leghari said government was re-negotiating deals with independent producers to rein in electricity tariffs
Pakistan at 23-1 after Brook triple hundred takes England to 823-7
- Brook and Root put on 454 for the fourth wicket as England piled up the fourth highest innings in Test cricket history
- Saim Ayub and Shan Masood were unbeaten on 13 and 10 respectively with Pakistan needing 244 to make England bat again
MULTAN: Pakistan were 23-1 at tea on the fourth day and fighting to avoid an innings defeat after Harry Brook’s 371 and Joe Root’s 262 propelled England to a mammoth 823-7 declared in the first Test on Thursday.
Brook and Root put on 454 for the fourth wicket as England piled up the fourth highest innings in Test cricket history before Chris Woakes bowled opener Abdullah Shafique with the first ball of their second innings.
Saim Ayub and captain Shan Masood — dropped twice by England fielders — were unbeaten on 13 and 10 respectively with Pakistan still needing 244 to make England bat again.
Brook and Root enjoyed a run-feast on a flat Multan stadium pitch, both knocking career-best scores to give England a 267 lead over Pakistan’s first innings total of 556.
Brook completed his triple century with a boundary off part-timer Ayub, reaching the mark off 310 balls before he top-edged a sweep off the same bowler and was caught by Masood.
Brook cracked 29 fours and three sixes in his 439-minute stay at the crease.
But Root — who broke Alastair Cook’s England Test run record of 12,472 on Wednesday — fell short of a triple hundred as he was trapped leg-before by Salman Agha after a marathon 10 hour-stay suring which he hit 17 fours.
The Root-Brook stand of 454 was England’s highest in Tests, eclipsing the 411-run fourth wicket partnership by Peter May and Colin Cowdrey against the West Indies at Birmingham in 1957.
It is also the fourth highest partnership in Test cricket history.
Ayub (2-101) and Naseem Shah (2-157) were the most successful Pakistan bowlers.
England resumed on 492-3 in the morning and looked for quick runs, which Root and Brook provided despite Pakistan’s defensive leg-side bowling, adding 166 runs in 29 overs in the session.
Root’s previous best of 254 was also against Pakistan at Manchester in 2016.
Brook was equally dominant, hitting 20 boundaries and a six in his maiden Test double hundred, which came off just 245 balls.
His previous best was 186, scored against New Zealand at Wellington last year.
Pakistan’s only chance came in the first hour when Root, on 186, failed to keep down a pull shot off Shah but Babar Azam shelled the regulation chance at mid-wicket.
Root took full advantage and with a single off spinner Agha Salman completed his sixth Test double-century, which came in 517 minutes off 305 balls.
Pakistan were without frontline spinner Abrar Ahmed who suffered a fever and did not take the field on Thursday.
PM says Pakistan terminating purchase agreements with 5 independent power producers
- Sharif says move will save $215 million per year for electricity consumers and $1.4 billion to the national treasury
- A decade ago, Pakistan approved dozens of motsly foreign-financed private projects by IPPs to tackle chronic shortages
KARACHI: Prime Minister Shehbaz Sharif said on Thursday Pakistan was terminating purchase agreements with five independent power producers (IPPs) to rein in electricity tariffs as households and businesses buckle under soaring energy costs.
A decade ago, Pakistan approved dozens of private projects by independent power producers (IPPs), financed mostly by foreign lenders, to tackle chronic shortages. But the deals, featuring incentives such as high guaranteed returns and commitments to pay even for unused power, ultimately resulted in excess capacity after a sustained economic crisis slashed consumption.
Short of funds, the government has built those fixed costs and capacity payments into consumer bills, sparking protests by domestic users and industry bodies.
“After today, the take and pay system of these five IPPs has been finished, it has been completely terminated. The previous obligations of these IPPs will only be paid but without any financial cost, without any interest,” Sharif said in televised comments as he addressed the federal cabinet.
“This will benefit electricity consumers by Rs60 billion ($215 million) annually. As a result, the national treasury will save Rs411 billion ($1.4 billion).”
The PM said tariffs would be reduced gradually by revising agreements with other IPPs in the electricity sector also.
“Five IPP owners prioritized national interest over personal interest and voluntarily agreed to terminate these agreements with the government,” Sharif added.
In a notice to the Pakistan Stock Exchange, Pakistan’s biggest private utility, Hub Power Company Ltd, unveiled on Thursday the premature termination of its pact for the government to buy power from a southwestern generation project.
The government and market operator the Central Power Purchasing Agency (CPPAG) agreed to settle the company’s outstanding receivables up to Oct 1, the company said.
The company said its board approved an accelerated expiry date of Oct. 1 for the deal, instead of an initial date of March 2027, in an action taken “in the greater national interest.”
The need to revisit power deals was a key issue in talks for a critical staff-level pact in July with the International Monetary Fund (IMF) for a $7-billion bailout.
Pakistan has also begun talks on reprofiling power sector debt owed to China and structural reforms, but progress has been slow. It has also vowed to stop power sector subsidies.
With inputs from Reuters
Saudi Arabia condemns Karachi attack that killed two Chinese nationals
- The bombing was the latest in a string of attacks against Chinese nationals in Pakistan
- A March suicide bombing killed five Chinese engineers working on a hydropower project
ISLAMABAD: Saudi Arabia on Thursday condemned a militant attack near the international airport of the southern Pakistani city of Karachi in which two Chinese nationals were killed last week.
The attack on Sunday was claimed by separatist militant group Baloch Liberation Army (BLA) which said it had used a vehicle-borne improvised explosive device to target the Chinese nationals, including engineers.
“The embassy condemns the attack by Saudi Arabia which took place near the Karachi Airport in which several people, including citizens of the People’s Republic of China, were killed and injured,” Riyadh’s embassy in Islamabad said on X.
The bombing was the latest in a string of attacks against Chinese nationals in Pakistan over the last four years, including a March suicide bombing that killed five Chinese engineers working on a hydropower project.
Beijing called on Islamabad to implement more stringent security measures.
BLA, the largest of several ethnic insurgent groups that has fought the federal government for decades, targets Chinese interests — including the strategic port of Gwadar on the Arabian Sea — as it accuses Beijing of helping Islamabad exploit local resources. It has previously killed Chinese citizens and attacked China’s consulate in Karachi.
The port development is part of Beijing’s $65 billion investment in road, rail and infrastructure building under President Xi’s Belt and Road Initiative (BRI).
With inputs from Reuters
Pakistani religious affairs ministry announces scholarships for non-Muslim students
- Non-Muslim students studying in government institutions with more than 50 percent marks eligible to apply
- Approximately $210,000 has been allocated for scholarships this financial year, ministry spokesman says
ISLAMABAD: Pakistan’s Religious Affairs Ministry on Thursday announced scholarships for non-Muslim students, aiming to enhance educational opportunities and support for minority communities who form less than five people of the population of the South Asian nation.
The government promotes educational inclusivity for non-Muslim students through various scholarship programs such as the Prime Minister’s Minority Scholarship Scheme and the Pakistan Minorities Scholarship Program. These initiatives provide financial assistance including tuition fees, stipends, book allowances, and travel grants to eligible students from minority communities.
The scholarships are awarded based on academic merit, financial need, and citizenship, enabling many students each year to pursue higher education.
“The Ministry of Religious Affairs has announced educational scholarships for non-Muslim students,” a spokesman for the religious affairs ministry said on Thursday. “Applications for this financial year’s scholarships will be submitted online through the ministry’s website.”
Approximately $210,000 (Rs60 million) have been allocated for the scholarships this financial year, he added.
Students will be required to provide an income certificate, educational institution verification and joint bank account details, the spokesman said, adding that only non-Muslim students studying in government institutions who had scored at least 50 percent marks would be eligible for the scholarships.
An advertisement published by the religious affairs ministry highlighted that an eligible candidate’s parent’s income must not exceed $259. Private institute students or students receiving any kind of financial assistance or stipend from any other source would not be eligible for the scholarship. It also advised students to apply within 30 days of the advertisement’s publication.
Pakistan to curb movement of Chinese nationals, diplomats during SCO summit
- Balochistan Liberation Army separatist group claimed responsibility for attack in Karachi in which two Chinese nationals killed
- Meeting of the SCO, which comprises nine full members including China, India, Iran, Russia, will take place in Islamabad on Oct. 15-16
ISLAMABAD: Pakistani authorities are seeking to curb the movements of Chinese citizens during the Shanghai Cooperation Organization meeting next week because of a security risk from militant groups targeting them, according to three security officials and an internal security note.
The decision came after two Chinese engineers were killed in a bombing near Pakistan’s Karachi international airport on Sunday. The suicide bombing was claimed by separatist militant group, the Baloch Liberation Army (BLA).
The meeting of the SCO, which comprises nine full members, including China, India, Iran and Russia, is scheduled for Oct. 15 and 16 in Islamabad. Chinese Premier Li Qiang is expected to arrive in the city prior to the meeting.
“Orders have been received from concerned authority that Chinese move of all types including intra-city/ inter-city/ airport etc to be ceased from 14 to 17 Oct 24 in connection with SCO summit and various delegations visit,” the security alert, shared with several Pakistani security agencies and seen by Reuters, said.
Three top security officials who received the alert said it had also been conveyed to Chinese authorities.
“All concerned to make sure that Chinese are conveyed it in advance so that important moves are adjusted before that. No violations will be accepted during this period,” the alert said.
The Chinese embassy in Islamabad and Pakistan’s interior ministry did not respond to a Reuters request for comment.
The bombing was the latest in a string of attacks against Chinese nationals in Pakistan over the last four years, including a March suicide bombing that killed five Chinese engineers working on a hydropower project.
Beijing has called on Islamabad publicly to implement more stringent security measures.
BLA, the biggest of several ethnic insurgent groups that has fought the federal government for decades, targets Chinese interests — including the strategic port of Gwadar on the Arabian Sea — as it accuses Beijing of helping Islamabad exploit local resources. It has previously killed Chinese citizens and attacked China’s consulate in Karachi.
The port development is part of Beijing’s $65 billion investment in road, rail and infrastructure building under President Xi’s Belt and Road Initiative (BRI).
The security officials said senior staff responsible for Chinese security in Karachi had been removed from service following the latest attack, which took place in a highly secure area.
Pakistan’s interior ministry is primarily responsible for the security of Chinese nationals and their interests.
“Let’s wait two, three days, things will be clear,” Interior Minister Mohsin Naqvi told a press conference in Islamabad when asked about the security lapse.
Separately, as part of SCO summit security arrangements, a foreign office letter requested diplomats and UN personnel residing in Islamabad to restrict their movements and remain confined to the Diplomatic Enclave and Red Zone areas during the conference days.
The Diplomatic Enclave houses foreign embassies and residents of diplomats working in Pakistan and is located inside the Red Zone, home to important government buildings like the Prime Minister House, President House, National Assembly and the Supreme Court.
“In this regard, it is advised that all diplomats may consider limiting their movements during this period [Oct. 15-16], both within and outside the city,” the ministry of foreign affairs said in a notification this week. “It is further advised that activities be confined primarily to the diplomatic enclave and Red Zone areas.”
The notice said the Pakistani government had put in place “heightened” security measures for the safety of incoming dignitaries and delegates to ensure the summit’s success, urging diplomatic missions to follow daily traffic updates.
“The Ministry appreciates the understanding and cooperation of all diplomatic missions ... and looks forward to their support in ensuring the success of this [SCO] event,” it added.
With inputs from Reuters
