Centre agrees to 'pay' Khyber Pakhtunkhwa's dues

ISLAMABAD: The federal government has accepted the stance of Khyber Pakhtunkhwa (KP) regarding its dues and has agreed to pay Rs37 billion within a year, ARY News reported, citing sources.

Sources indicate that Khyber Pakhtunkhwa’s longstanding demand regarding the Net Hydel Profit has been accepted, resolving a dispute that had been pending for two years.

The Ministry of Finance sources confirmed that the federal government is now willing to pay Rs3 billion monthly for the Net Hydel Profit instead of the previous Rs1.5 billion.

For the past two years, there have been disagreements between the federal government and Khyber Pakhtunkhwa on the accurate calculation of the Net Hydel Profit dues. Sources report that KP’s Finance Advisor, Muzammil Aslam, held extensive negotiations with the federal secretary Energy and Finance secretary on the matter.

The Council of Common Interests also played a crucial role in resolving the dispute between the federal government and Khyber Pakhtunkhwa, according to sources.

Earlier, Khyber Pakhtunkhwa Chief Minister (CM) Ali Amin Gandapur put forward KP demands in Special Investment Facilitation Council (SIFC) meeting and asked the federal government to clear its dues to the province.

Speaking to journalists after SIFC’s meeting, the KP chief minister said that his government will not compromise on province rights and will not allow anyone to take “undue advantage”.