Power division dismisses reports of summoning IPPs owners for inquiry

The Power Division has denied reports suggesting that an investigative committee summoned Independent Power Producers (IPPs) owners, calling the news baseless.

According to an official statement from the Power Division on Sunday, there is no truth to the claims circulating on various TV channels regarding the summoning of IPPs owners by the investigative committee.

Officials clarified that IPPs owners have not been called to appear before the committee.

Earlier, reports had surfaced on some TV channels alleging that 13 IPPs owners had been summoned to Islamabad, with instructions to bring their financial reports. These reports claimed that the government had uncovered “additional profiteering” by power plants established under the China-Pakistan Economic Corridor (CPEC).

Sources indicated that the Special Assistant to the Prime Minister (SAPM) on Power Division, Muhammad Ali, was playing a key role in the probe and had directed IPPs owners to present financial reports.

This development follows the Senate’s Functional Committee on Devolution's call last month for a forensic audit of the IPPs, with committee chair Dr Zarqa Suharwardy Taimur raising concerns over the operations of the IPPs and a lack of transparency in their contracts.

The IPPs have come under scrutiny recently amid allegations of contributing to inflated electricity bills, which have sparked public outrage amid rising inflation.

There have been demands for a review of the government's existing agreements with the IPPs, most notably from Jamaat-e-Islami (JI), which held a 14-day sit-in in Rawalpindi, calling for renegotiation of IPPs contracts and other measures.

The government has acknowledged that Pakistan has the highest electricity tariffs in the region. Energy Minister Awais Leghari recently stated that the nation would receive "good news" regarding the IPPs soon.