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Monday, 14 October 2013

Federal, provincial governments largest electricity defaulters: ADB


ISLAMABAD: A report by the Asian Development Bank (ADB) states that the federal and provincial governments in Pakistan are the largest defaulters of electricity bills in the country.

According to the report, the cost of producing electricity in Pakistan is high and it would not decline even if all the outstanding electricity bills were cleared.

The report further states that due to the revenue shortage, the Central Power Purchasing Agency is not able to make full payments to electricity companies. The ADB adds that the requirement for electricity when touches its peak in Pakistan creates a huge demand-supply gap of up to 40 percent.

The report says Pakistan is facing difficulties in changing the obsolete system of power generation and as a result the issue of line losses continues to remain unresolved.

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