KP Launches Solar Systems Distribution for 130,000 Households
March 8, 2026
ECC approves revised power contracts expected to save Rs163bn and clears Rs235bn in outstanding payments to power producers.
The Economic Coordination Committee (ECC) has approved revised agreements with multiple power producers, a move expected to generate savings of approximately Rs163 billion over the lifetime of the projects.
The meeting, chaired by Finance Minister Muhammad Aurangzeb, endorsed renegotiated contracts with 14 wind power producers, revisions to the Quaid-i-Azam Solar Power Pvt Ltd project, and the termination of a contract with a small independent power producer.
According to officials, the government will simultaneously disburse around Rs235 billion in outstanding payments to government-owned and independent power producers to facilitate the revised agreements.
The ECC was informed that wind power projects operating under older tariff frameworks had significantly higher electricity tariffs compared with projects approved after 2018. The revised agreements include adjustments in return on equity, reductions in operation and maintenance costs, and revised late payment charges, subject to settlement of outstanding dues within 90 days.
The committee also allowed the National Electric Power Regulatory Authority to process tariff adjustments linked to the revised agreements.
In addition, the ECC approved several supplementary grants for different ministries and government entities, including funding for education programmes, disaster response expenditures and Pakistan’s contribution to the International Energy Forum.
