The Federal government and Karachi Electric (KE) signed various agreements on Friday, aimed at ensuring energy security for Karachi.
\nThe agreements were signed at the Energy Division through representative bodies in the presence of Muhammad Ali, Minister of Energy, Power and Petroleum, and Dr Shamshad Akhtar, Minister of Finance while KE was represented by CEO, Moonis Alvi and CFO, Muhammad Aamir Ghaziani.<\/p>\n
These agreements address longstanding disputes between the government and KE, particularly in formalizing and securing a stable power supply from the National Grid to Karachi, up to the interconnection capacity.<\/p>\n
Resolving these legacy matters is crucial for both Karachi\u2019s energy security and the sustainability of KE as a company. The agreements include the Tariff Differential Subsidy Agreement (TDA) and Power Purchase Agency Agreement (PPAA), marking a significant milestone for the power sector. The Interconnection Agreement (ICA) is expected to be signed after approval from NEPRA.<\/p>\n
The firm supply of energy from the National Grid is anticipated to provide affordable power to KE customers. The signing of a Mediation Agreement (MA) is also essential for reconciling legacy contentions on payables and receivables between KE and government entities.
\nCaretaker Minister for Power and Petroleum Muhammad Ali said, \u201cWe are tackling a Gordian knot in the power sector with a vision to bring efficiency and long-term stability. Today\u2019s signing is one facet of this, where we have addressed legacy bottlenecks. It demonstrates the willpower and commitment of our institutions towards Pakistan.\u201d
\nThe minister said the Ministry is working hard to provide an enabling environment for the power sector to thrive because the ultimate beneficiary of our interventions is the customer.
\nMuhammad Ali thanked the Finance Minister Dr. Shamshad Akhtar for her involvement and support.
\n\u201cThis is the best news to the Karachi consumers as power issues will be much more stabilized now. KE has always been treated by the government as a partner\u201d he added.
\nCaretaker Federal Minister of Finance Dr. Shamshad Akhtar, said \u201cEnergy underpins progress on a national level. Streamlining issues and resolving legacy matters therefore is of utmost importance. We believe that today\u2019s achievement will also send a strong positive signal to investors across the globe who are eyeing Pakistan as a potential market. The energy sector is undergoing a revolution and we are committed to supporting it.\u201d
\nExpressing his gratitude at the occasion, CEO KE Moonis Alvi said, \u201cToday is a momentous occasion for us, representing a paradigm shift in the energy landscape as well\u201d.
\nHe also thanked Prime Minister, Anwaar ul Haq Kakar, Minister for Energy Muhammad, Finance Minister Dr. Shamshad Akhtar, the SIFC, and the task force under Shahid Khaqan Abbasi along with the innumerable other stakeholders who demonstrated resolve and pragmatism in bringing these legacy matters to a close.
\nFollowing recent approval by the Economic Coordination Committee (ECC) chaired by Dr Shamshad Akhtar, the summary had been ratified by the Cabinet also and was developed on the recommendations put forward by the Prime Minister\u2019s task force on Energy that was chaired by Shahid Khaqan Abbasi.<\/p>\n","protected":false},"excerpt":{"rendered":"
The Federal government and Karachi Electric (KE) signed various agreements on Friday, aimed at ensuring energy security for Karachi. The agreements were signed at the Energy Division through representative bodies in the presence of Muhammad Ali, Minister of Energy, Power and Petroleum, and Dr Shamshad Akhtar, Minister of Finance while KE was represented by CEO, […]<\/p>\n","protected":false},"author":2,"featured_media":378889,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":{"0":"post-378886","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-national"},"yoast_head":"\n