PSO seeks Rs70b payment from PEPCO


Pakistan State Oil (PSO) is seeking immediate payment of Rs70 billion dues from Pakistan Electric Power Company (PEPCO) to make payment of Rs108.2 billion to the international fuel suppliers.
An official source said that total receivables of the company were Rs139 billion while its total liabilities were Rs159.4 billion on July 15. Out of its total receivables Rs99.4 billion were overdue while Rs51 billion were overdue under its total liabilities.
PSO had written letters to PEPCO and KESC to immediately clear their dues and had also sought government’s help in the timely release of the arrears to maintain its operations, the source said adding that if the dues were not immediately cleared that might affect supplies planned for the current month.
PSO had imported 190,000 tonnes of fuel during the last month, as compared to normal imports of 100,000 tonnes, due to the closure of the three oil refineries that have escalated its payments to the international fuel oil suppliers. The company plans to import three ships of 100,000 tonnes during the current month. With the implementation of three days a week CNG closure in Punjab and two days for Sindh, the demand for imported petrol is expected to increase to 150,000 tonnes this month.
PSO was directed to import 100,000 tonnes of fuel as the last ship called in emergency docked on the port in July that would provide a stock of 140,000 tonnes which would help meet the requirements of the current month, the source added.
PSO receivables from WAPDA stand at Rs4.3 billion, HUBCO Rs56 billion, KAPCO Rs32.2 billion, PIA Rs1.8 billion, OGDCL Rs110 million, KESC Rs4.1 billion, Pakistan Railways Rs652 million, financial charges from PIA Rs1 billion, audited price differential claims on High Speed Diesel (HSD) Rs1.3 billion and on imported PMG Rs3.6 billion. PSO liabilities to refineries on July 15 were Rs18.8 billion to PARCO, PRL Rs6.4 billion, NRL Rs9.2 billion, ARL Rs12.9 billion, Bosicor Rs3.4 billion and others Rs217 million. While the Letter of Credit payment to Kuwait Petroleum Company and other fuel oil suppliers amounted to Rs108.2 billion. The total liabilities of the company amount to Rs159.4 billion.