MoF seeks progress on mediation pact between KE, other entities

ISLAMABAD: Finance Ministry has sought progress from Power Division on amendments of Mediation Agreement pertaining to claims of KE for Tariff Differential Subsidy (TDS) and KWSB and payables of KE to different SOEs like CPPA-G/ NTDC and SSGC, well informed sources told Newzshewz.
Last month, the Economic Coordination Committee (ECC) of the Cabinet had increased mediation proceedings between K-Electric and Government of Sindh to 90 days instead of 60 days.
According to sources, Government of Sindh has agreed to be the part of Mediation Agreement with the following conditions: (i) GoSindh will be officially part of negotiation on each issue even if that is only between Federal Government and KE; and (ii) Energy Department, Sindh shall present the findings/ recommendations of the mediation process before the provincial cabinet prior to committing any financial responsibility on behalf of the provincial government.
Government of Sindh has already shared its point of view to Power Division on December 30, 2024. Power Division submitted the summary to the ECC which has been approved.
The ECC considered and approved a summary by the Power Division seeking amendment to a 16th February 2024 mediation agreement pertaining to claims of KE for tariff differential subsidy and KWSB and payables of KE to different state-owned enterprises (CPPA/NTDC and SSGC), with the proviso that it would not lead to any increase in the tariff.
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