The topic of capacity payments to independent power producers (IPPs) has become a hot-button issue in Pakistan. Senior news anchor Hamir Mir reports that the government holds a 52% stake in these IPPs, with the remaining 48% owned by private investors.
According to Mir, Pakistan has a total of 100 independent power producers (IPPs). Of these, 51 are owned by private companies and groups, seven are controlled by influential politicians, and 18 are held by international firms from China, Singapore, and Norway.
He added that the Mian Mansha Group owns four IPPs and has received Rs4 billion in capacity payments. Furthermore, Abdul Razzaq Dawood’s Rousch (Pakistan) Power Limited (RPPL) operates a plant that generated only 4% of its capacity last year, but received Rs6.88 billion in capacity charges.
Nadeem Babar, in partnership with Mahmood Group, owns an IPP under the Orient Power Project. This company generated 32% of its capacity and received Rs5.80 billion in capacity payments.
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Meanwhile, Jahangir Khan Tareen holds two IPPs: JDW Sugar Mills Unit 2, which was paid Rs1.9 billion, and JDW Unit 3, which received Rs77 crore in capacity charges last year.
Suleman Shehbaz, son of Prime Minister Shehbaz Sharif, owns the Chiniot Power Limited IPP. The plant generated 33% of its capacity last year and received Rs1.55 billion in capacity payments.
