Kot Addu Power discloser at PSX:
Progress has been made on the renewal of the Company's Power Purchase Agreement (PPA) following negotiations with the National Task Force on Implementation of Structural Reforms (Power Sector). Due to system requirements, the National Electric Power Regulatory Authority (NEPRA) has already approved the inclusion of the Company's Power Plant in the Power Acquisition Plan (2023-2027) for distribution companies whereby the Company's Power Plant is required in the System till 2027. Hence, it has been agreed in-principle that the PPA for 500 MW (and Switchyard) will be renewed for three years on hybrid take-and-pay wherein certain fixed costs along with a minimum guaranteed return will be allowed subject to availability of the Power Plant; and extra return on equity will be linked with additional generation of electricity.
After the close of the review period, the Government of Pakistan (GoP) approved the retention of the Company's Power Plant and advised the relevant authorities including NEPRA, Central Power Purchasing Authority (Guarantee) Limited (CPPA-G) and the National Transmission and Dispatch Company Limited (NTDC) for completing formalities (including regulatory) for execution of the PPA with the Company. In view of these developments, the Company has also filed an Addendum to the Tariff Petition before NEPRA for determination of Final Tariff. Once the Company is formally advised of the renewal terms, the Company will be seeking appropriate corporate approvals.
https://dps.psx.com.pk/download/document/248147.pdf
