Deputy Minister of Electric Power says two factories have lost profits

The two factories that suffered losses under the Ministry of Electric Power and Energy have been profitable since the FY18-19 fiscal year, said Dr Tun Naing.

At the Union Parliament meeting held on February 10, the Deputy Minister clarified on the progress of the two petrochemical plants being run by Myanma Oil Industry.

According to the Hluttaw, the No. 4 Fertilizer Plant (Myaung Tone) and the No. 5 Fertilizer Plant (Corner of Kandawgyi) under the Ministry were suspended for the 2017-2018 fiscal year. However, the ministry allowed that same year for re-introduction.

Both factories have been able to make over Ks 6.5 billion in profits from both factories from FY 2018-19.

The No. 4 Fertilizer Plant (Myaungmya) in the 2015-16 fiscal year was 18.36 billion kyats. In 2016-17, there was a loss of 12 billion kyats. In addition, the No. 5 Fertilizer Plant (Kantha Corner) lost more than Ks 13 billion in FY 2015-16 and FY2017.

China has borrowed 500 million yuan ($ 37.04 million) to operate the two factories, with 50 million yuan still to be repaid, and will be completed later this year. The remaining $ 10.8 million from the loan with Dawla would be repayable both in terms of interest and capital over the next three years, he said.