Breaking News: Government settles Rs 72 billion with IPPs after terminating agreements.
The federal government has decided to pay a total of Rs 72 billion as a final settlement to five Independent Power Producers (IPPs) after terminating agreements with them. Prime Minister Shehbaz Sharif announced the termination in the first phase on October 10. The government will pay Hubco Rs 36.5 billion, Rousch Power Rs 15.5 billion, Lalpir Power Rs 12.8 billion, Atlas Power Rs 15.5 billion, and Sapphire Power Rs 6 billion.
The settlement does not include late payment charges and agreements with the IPPs will be officially terminated from October 1. PM Shehbaz Sharif emphasized the savings this termination will bring to power consumers and the national exchequer. He credited the collective efforts of the government team and support from allied parties, including Chief of Army Staff General Asim Munir. The Prime Minister highlighted this as the beginning of progress and prosperity for the people, acknowledging the relief provided by both the Federal and Punjab governments during the summer months.