PSO receivables surge over Rs 146 billi

ISLAMABAD: Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi said on Wednesday Pakistan State Oil (PSO) the public sector oil marketing company was struggling to recover dues from different entities of power sector which had swelled to Rs 146.6 billion.Speaking during the question hour in the Senate the minister said in addition to the outstanding principal the PSO had price differential claims of Rs 9.6 billion against the government and late payment charges claims of Rs 55.5 billion against WAPDA, HUBCO and KAPCO.He said WAPDA, PEPCO owed Rs 104.30 billion HUBCO Rs 39.5 billion KAPCO 2.4 billion and Saba Power Southern Electric Rs 0.4 billion.He said the balance of circular debt which was at Rs 181 billion at the start of January 2015 had been reduced to Rs 146 billion.The major reason for reduction in the circular debt balance was that the government injected Rs 40 billion in January last year on behalf of the Power Sector.Moreover the Ministry of Water and Power put in place an arrangement with effect from February 07 2015 to deter further accumulation of the circular debt wherein payments against furnace oil supplies were being made to the PSO within seven days.He said under such arrangement payment of Rs 293 billion had been received by the PSO against supplies worth Rs 308 billion made to the Power Sector from February 07 2015.