ISLAMABAD, Jan 18: Power crisis in the country has deepened because five independent power producers (IPPs), producing about 900 megawatts, have shut down six units and approached international arbitrators for the recovery of their dues.

The IPPs which have shut down their units are: Japan Power Generation (120MW), AES Lalpir (350MW), Altern Enegry (14MW), Southern Electric Power (135 MW) and Rental 1 & 2 Bhikki (300MW).

One of them, the Japan Power Generation (JPG), has already approached the Singapore-based International Chamber of Commerce (ICC) for arrears unpaid for the past two and a half years.

Representatives of the IPPs said the government would soon hear from the ICC on the JPG issue.

There are 17 IPPs producing 4,4048MW against a total production capacity of 6,229.61MW.

Other IPPs are: AES Pak Gen (365MW), Fauji Kabirwala Power Company (157MW), Gul Ahmed Energy (136.17MW), Habibullah Coastal Power (140MW), Kohinoor Energy (131.44MW), Liberty Power Project (235 MW), Rousch (Pakistan) Power (412MW), Saba Power (130MW), Tapal Energy (126MW), Uch Power (586MW), Hub Power (1,292MW), and Kot Addu Power (1,600MW).

One of them has resumed operation after suspending generation for several months.

The IPPs which are still operating are not producing to their maximum capacity, aggravating the shortage.

Sources said the government had paid Rs7 billion to Wapda to distribute it among the IPPs, but it still owed about Rs120 billion.

According to the government, the country is facing a power shortage of about 4,500MW.

According to the sources, if all existing IPPs are paid their dues and they start operating at their maximum production capacity, the government will be able to overcome the energy crisis to some extent.

Instead of paying dues to cheaper power producers, the government has opted to get new rental units, promising them a much higher rate.

“We are selling power to the government at an average rate of four cent a unit but new companies will get 12 to 14 cents,” said a representative of one of the IPPs.

Wapda chairman Shakeel Durrani said in a TV programme that about 4,000MW would be acquired from new IPPs, and by the end of this year about 3,500 MW would be added to the national grid. Former finance minister Sataj Aziz, however, said the crisis could be overcome by proper power management.

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