The Hubco power purchase dispute in Pakistan is said to be very close to resolution.
Hubco’s investors, which include US-based Entergy and National Power of the UK, agreed to write-off $200 million of an outstanding $274 million in debt owed to the project by the Water and Power Development Authority that it will have acccrued by June.
Hubco also agreed to reduce tariffs to the total of $100 million over the 27-year contract life and O&M contracts will be cut by an additional $40 million. The $74 million was needed for loan repayments.
