SSGC classifies dues from KE and PSML recoverable

May 22, 2023 (MLN): Sui Southern Gas Company Limited (SSGC) has considered overdue balances of Rs29.652 billion and Rs24.786bn from K-Electic Limited (KE) and Pakistan Steel Mills Corporation (Private) Limited (PSML), respectively as good and classified them as current assets in the unconsolidated condensed interim financial statements.

According to the latest company filing on PSX, SSGC had trade debts receivables of Rs29.65bn and Rs24.865bn in the unconsolidated condensed interim financial statements dated 31 December 2021.

Earlier on 8 May 2023, during a corporate briefing, SSGC shared its efforts to address circular debt challenges, including the resolution of outstanding payments with entities like KE and PSML.

Furthermore, KE and PSML have disputed Late Payment Surcharge (LPS) on their respective balances due to which management has decided to recognize LPS on receipt basis from the aforesaid entities effective from July 01, 2012.

Going by the filing, interest accrued includes interest receivable of Rs10.394bn and Rs4.884bn from Sui Northern Gas Pipeline Limited (SNGPL) and Water and Power Development Authority (WAPDA), respectively.

However, the aforementioned LPS on overdue amounts has not been acknowledged by the counter-party.

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