Federal govt to pay outstanding 70 bn rupees to KP within four years
All outstanding issues including electricity royalty issue between federal and KP govts resolved
ISLAMABAD: (Dunya News) – Federal and Khyber Pakhtunkhwa (KP) governments have on Thursday resolved all their outstanding issues including that of the electricity royalty issue. The federal government has also agreed to pay the outstanding electricity royalty worth Rs. 70 billion to KP within next four years, reported Dunya News.
According to details, federal government will pay the outstanding amount of Rs. 70 billion to KP government within next four years and the first installment of Rs. 25 billion will be paid this year. The remaining amount will be paid in three installments of Rs. 15 billion each during over a period of four years. KP government also secured the right to provide gas for power projects.
The official declaration states that CPPA will decide the formula of payment and the agreement of electricity purchase by March 31.Federal government will provide 100 MMCFD gas to KP for power projects while the provincial government will be responsible for the distribution.
It has also been agreed that the feasibility of Chashma Right Bank Uplift Canal project will be prepared jointly by federal and provincial governments. Federal government will pay 65% of the amount for the project while the remaining 35% will be paid by KP government.
