CCoE appreciates improvement in Circular Debt Management
ISLAMABAD – The Cabinet Committee on Energy (CCoE) was Tuesday informed that in average Rs 26 billion a month was added to the circular debt during the past 10 months of current fiscal(July 2020 to Apr 2021).
A meeting of the Cabinet Committee on Energy (CCoE) was held under the Chairmanship of Federal Minister for Planning, Development, and Special Initiatives Asad Umar here. The meeting was attended by Minister for Energy, Minister for Finance, Minister for Maritime Affairs, Minister for Railways, Minister for Science & Technology, Advisor on Commerce, SAPM on Power, Petroleum & Revenue. Representatives of regulatory authorities and officials of provincial governments also participated in the meeting.
Power Division submitted the Circular Debt Report for the month of April 2021. It was informed that the Circular Debt buildup during July 2020 to April 2021 was Rs. 260 billion which was considerably lower than the Rs. 449 billion buildup during April 2020, which reflected an improvement of Rs 189 over the last year.
The committee appreciated the improvement in Circular Debt Management and directed that Power Division should work with Finance Division to make further improvements in the system. Petroleum Division apprised the Committee of the progress on the establishment of new LNG terminals.
Federal Minister for Planning, Development, and Special Initiatives Asad Umar meanwhile said that the accumulation of Circular debt will be Rs 100 billion less than PML (N) last year in government.
“Circular debt build up Jul-Apr this fiscal year is 260 billion vs 449 billion same period last year, a reduction of 189 billion. The full year circular debt build up this year is expected to be more than 100 billion less than the circular debt build in pmln last year of govt!,” Asad Umar said in a tweet. “This improvement in energy sector performance and slow down in buildup of circular debt has been the result of sustained hard work, analytical data based decision making and willingness to break the nexus between decision makers and powerful elite,” he further added.