ISLAMABAD – Financial woes of Pakistan State Oil (PSO) have worsened as receivables, mostly emanating out from country’s energy sector, have swelled to record Rs274 billion which sheds light on continuation of chronic circular debt.
According to details available, total receivables of state-owned PSO has risen to Rs274 billion as of March 24, 2017.
Public sector has biggest chunk of payables to PSO. This is evident from Rs62 billion outstanding against Hub Power Company and about Rs23 billion outstanding against Kot Addu Thermal Power Company. Similarly, payments against other public sector power generation companies (Gencos) stands at mammoth Rs141 billion whereas national flag career PIA owes Rs15 billion to PSO.
PSO is supposed to make payments worth Rs63 billion in terms of imports of petro products and Liquefied Natural Gas (LNG) from Kuwait Petroleum and Qatar respectively.
Analysts, monitoring all situation, fear country would witness traumatizing load shedding in upcoming summer season if power sector fails in making timely payments.