‘Give-and-take’ arrangement: Chinese firm accuses authorities of forcing it to accept their conditions

ISLAMABAD: M/s China Huaneng, the Chinese company that owns and operates the 1,320-MW Sahiwal coal-fired power plant, has reportedly accused Pakistani authorities of pressuring it to enter into a “give-and-take” arrangement as a condition for clearance of its long-pending capacity payment deductions, well-informed sources in the Planning Ministry told Business Recorder. The company’s Chief Executive Officer Liu Zengrui has approached the Prime Minister’s Office (PMO) and other relevant authorities, including the Central Power Purchasing Agency-Guarantee (CPPA-G), which purchases electricity from the plant and makes payments to the company, seeking intervention to resolve the issue. “The power company has sought intervention of the Prime Minister’s Office regarding a long-standing and critical issue faced by it in connection with CPPA-G, which has remained unresolved for approximately four years despite repeated efforts by the company to have the matter addressed through the appropriate institutional process,” the sources quoted the CEO as saying. According to the company, the Sahiwal power plant has played an important role in Pakistan’s power sector since becoming operational by s