The circular debt had been hitting petroleum sector hard and had forced the PSO several times to suspend supplies to power sector. — File Photo

ISLAMABAD: The public sector entity-Pakistan State Oil(PSO) is taking pains to ensure smooth fuel supply in the face of its staggering receivables of about Rs 182 billion.

According to an official source, Dr Asim Hussain, Advisor to the Prime Minister on Petroleum and Natural Resources had directed the PSO to ensure timely payment to the refineries for uninterrupted production.

The circular debt, piling up uninterruptedly, had been hitting petroleum sector hard and had forced the PSO several times to suspend supplies to power sector.

Appreciating the far-reaching effects of the inter-corporate debt in the face of pressing energy needs, the Ministry of Petroleum and Natural Resources has expedited efforts to arrange funds from the Finance Division to put a permanent end to worst issue of circular debt for maintaining smooth fuel supply chain.

Thus, realizing as being public sector entity, the PSO on Sunday reiterated its commitment to feed power sector with uninterrupted supplies.

“The PSO under the leadership of Irfan Qureshi is working round the clock to ensure uninterrupted fuel supplies to ameliorate the power situation in the country”, the company's statement said.

It said the company was maintaining supplies of approximately 20,000 MTs to the power sector and on a daily basis 7000 MTs were being supplied to Hubco, 4000 MTs to Kapco, 4000 MTs to KESC, 2000 MTs to IPPs and 3000 MTs to Gencos.

Moreover, the statement said the company's management had made alternative arrangements to ensure supplies to power entities especially to Genco (Jamshoro), given the strike of APOTOA (All Pakistan Oil tankers Owners Association).

Dispelling any impression regarding shortage of fuel shortage for power sector, it said there were adequate reserves of furnace oil and the required levels of stocks were in transit.

It adds all necessary measures were being taken to ensure the fuel supplies reached their destinations on time to meet the daunting energy needs of the country.

The Managing Director Irfan Qureshi is personally supervising the product movement to ensure that there are minimal power outages in the country.

Pakistan State Oil, as the largest energy company in the country, is cognizant of its responsibilities and continues to meet the energy needs of the nation in a responsible and timely manner.