PSO faces financial woes as receivables hit Rs306 billion
Rs276 billion has to be paid by the power companies.
KARACHI (Dunya News) - Pakistan State Oil (PSO) has been under tremendous financial woes as outstanding amount has reached Rs306 billion.
According to the details available from the oil giant currently, the receivables have reached Rs306 billion, out of which, nearly Rs276 billion has to be paid by the power companies including Hub Power, Kot Addu Power and Gencos.
Moreover, the PSO has to collect nearly Rs25 billion from other state-run companies including Pakistan International Airlines which has to pay in excess of Rs 15 billion.
One of the analysts from the leading brokerage house said PSO has been double edge blade- the oil companies buying furnace oil and not clearing their dues while now the government has asked the companies to stop their power plants which in turn has reduced the sale of furnace oil.
PSO recently sent letters to Ministry of Energy that ship load of eight vessels have been on their way while couple of them entered the Pakistani waters and sudden decision to add financial woes of the company.
The company has to face heavy demurrages amounting to 250000 dollars per day if the vessels failed to offload the cargo in prescribed period. Moreover, it would choke the supply chain and refineries likely to close down as they have not enough space to store the products.
The government should react on war footing basis otherwise the country might face oil storage and supply problems, said an official of the company.
(Story by Haris Zamir)
