PSO’s Inter-Corporate Debt Hits Rs. 1.024 Trillion

As of March 8, 2023, Pakistan State Oil’s (PSO) inter-corporate debt soared to Rs. 1.024 trillion with receivables at Rs. 762.653 billion and payables at Rs. 261.155 billion. The most important payment, Rs. 124.666 billion in late payment surcharge (LPS), is also included in the total receivables, which have risen to Rs. 762.653 billion, reported a national daily. Sui Northern Gas Pipelines Limited (SNGPL) is the largest defaulter. As of March 8, 2023, SNGPL owed PSO Rs. 492.102 billion. The power sector is still haunting the state-owned oil marketing company, which must pay Rs. 178 billion. Meanwhile, Pakistan International Airlines (PIA) and the Government of Pakistan owe Rs. 92.5 billion. Moreover, because of the weariness and inefficiency of the companies that include SNGPL, the power sector and PIA, a massive amount of Rs. 124.666 billion has been accumulated in the form of LPS. PSO also needs Rs. 210.5 billion just to offload payment for liquefied natural gas imports from Qatar and diesel from Kuwait Petroleum Company (KPC). Pertinently, PSO must pay Rs. 210.5 billion to offload its liabilities related to LNG and diesel imports, and Rs. 50.655 billion to offload its liabilities related to petroleum, oil, and lubricant products purchased from local refineries. The oil company also owes the Pak-Arab Refinery Company (PARCO) Rs. 24.765 billion, Pakistan Refinery Limited (PRL) Rs. 8.501 billion, National Refinery Limited (NRL) Rs. 3.469 billion, Attock Refinery Limited (ARL) Rs. 9.049 billion, BYCO Rs. 4.108 billion, and ENAR Rs. 763 million.