Power sector needs urgent reforms with tailored IPP renegotiations, integrated energy plan: Experts

Reforms & IPP Renegotiations Needed in the Power Sector

Paradigm Shift Urgent Reforms & IPP Renegotiations Needed in the Power Sector: Experts Pakistan’s power sector is plagued by high tariffs, governance inefficiencies, and rising circular debt. Experts at an IPS webinar stressed the need for a structured, transparent approach to independent power producer (IPP) renegotiations, balancing affordability and investor confidence. The post Urgent Reforms & IPP Renegotiations Needed in the Power Sector: …

Power sector needs urgent reforms with tailored IPP renegotiations, integrated energy plan: Experts

Islamabad Pakistan’s power sector needs an integrated energy plan that goes beyond short-term fixes and adopts a categorical approach to independent power producers (IPPs), ensuring that renegotiations are strategic, inclusive, transparent, and tailored. Additionally, the revision of IPP contracts must include a thorough examination of tariff structures. Besides, it must balance affordability, availability, and investor confidence while addressi…

The 'direct power purchase' system, which allows companies to purchase electricity at wholesale prices (SMP), is being implemented. Considering the rapid increase in industrial electricity rates due to the breakup of Korea Electric Power Corporation's monopoly in the electricity sales market, many companies may join the ranks of those leaving KEPCO.