Wapda’s Receivables Cross Rs. 232 Billion

The receivables of Water and Power Development Authority’s (Wapda) have crossed Rs. 232 billion primarily due to lack of payments by the Central Power Purchasing Agency –Guaranteed (CPPA-G). According to a report in Business Recorder, the present stock of Wapda’s receivables is Rs. 232.644 billion. The breakdown shows that energy receivables stood at Rs 27.537 billion, pending debt servicing liability towards the government of Pakistan at Rs. 115.793 billion and Net Hydel Profit payable to provinces (government of Khyber Pakhtunkhwa Rs. 22.315 billion and the government of Punjab Rs. 67 billion). According to the report, in compliance with ECC decision of November 29, 2022, Wapda received Rs. 22.242 billion through Pakistan Investment Bonds (PIBs) on March 31, 2023. Citing sources, the report said that the Member Finance has conveyed to Secretary Ministry of Water Resources that the release was made against its long outstanding energy receivables whereas CPPA-G only paid Rs. 2 billion in cash for the month of March 2023, much below the minimum monthly demand of Rs. 7.50 billion. Moreover, no fund were released for making payments to provinces on account of Net Hydel Profit (NHP). The Member Finance further said that Wapda has been requesting CPPA-G to release funds of at least Rs. 7.50 billion every month which is necessary to meeting Wapda’s equity injection, O&M and debt servicing requirements. The Member Finance has requested to instruct CPPA-G to ensure payment of Rs.7.50 billion every month to Wapda besides clearing hydroelectric receivables of Rs. 232.644 billion at the earliest so that it can meet its operation and development needs.