The Pakistan Industrial and Traders Associations Front (PIAF) chairman Mian Nauman Kabir has welcomed the agreement between the government and the independent power producers (IPPs) to bring down circular debt and reduce cost of electricity generation, as the cost of doing business continues to increase manifold.

PIAF chairman, in a joint statement with senior vice chairman Nasir Hameed and vice chairman Javed Siddiqi, congratulated the government as well as the IPPs, to reach a deal in the larger national interest under the 1994 and 2002 power policy, agreeing voluntarily to provide concessions, leading to reduce cost of power generation and cut circular debt.

He termed revision of IPPs agreements as a good move despite the fact that some sensitive points were not touched by the negotiating committee and the grace marks were given to the power producers.

The federal government, through its new agreement with IPPs, was working towards reducing the cost of electricity in the country,” he said and added that reforms pertaining to the power sector should also be introduced at the earliest.

Mian Nauman Kabir expressed the hope the government’s new agreement will promote industries and help reduce the burden of circular debt.