Siphoning money from China? Do you think that the CCP is led by retards? The CCP offered the PMLN government predatory contracts, knowing that Pakistan had no bargaining power as it was extremely desperate for any FDI at the time. And PMLN, a party with no foresight, signed these contracts. Yes, PMLN deserves all the sh*t for signing these contracts but why are you treating the CCP like some innocent child. I applaud the CCP for intelligently exploiting Pakistan as their duty is only to have China prosper but I also fully recognise how they are more than willing to exploit other nations just like any other government in the world.
The Power projects were a necessity because in the not so distant past we were getting 18-20 hrs load shedding.
When no one was willing to invest the Chinese steped up. You don’t think they would set a safety net for their investments?
Capacity payments would hve been alot easily managed if the governments didn’t round up such a huge circular dept from DISCO side.
Huge line losses owing mostly to theft and no payment of bills.
Making electricity from coal is more expensive since the global prices for coal surged. Most european countries restarted there old coal plants inlight of russian ban.
Our dollar crunch, compounded with huge circular dept made it difficult to pay the Chinese power producers.
So now we think… well lets just stop buying expensive coal and LNG electricity. But the Chinese have minimum capacity payments in contract. Why wouldn’t they? Imagine investing billions and then the sole buyer says… well sell me at a loss or else im not buying. That’s not how the world works. They made their safety net beforehand.
For context for some really illiterate members even projects by other foreign companies have required similar contracts like the wind farms.
Dutch, german and other Europen countries make bare minimum capacity payments in contracts for their wind and solar plants even( alot cheaper than coal but they still require)
India imported
176 million tons of thermal coal in 2023… while Pakistan imported about 30 mt in the same time frame.
When you can’t pay…. There are alot of excuses. The electricity is EXPENSIVE!!! Well sort out the most major contributor that makes it difficult for you to pay back…. The DISCO losses.
And if the-coal prices keep surging then its okay. Buy the bare minimum electricity from these Chinese units expensive as it may be, stop the huge losses and circular dept so it won’t be a problem to pay back timely , but don’t throw mud at there face when they were the only ones who came to your help when no one else did.
