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Ministry’s Abstraction Impedes the Proceedings of the Meeting of the Senate Committee on Power

The Senate Standing Committee on Power on Friday was informed that a total payment of rupees 57 bn is made to KEPCO on the selling units at a cost of 19.5 rupees /unit, along with the variable payment however; no capacity payment was made after the expiry of its tenure, informed NEPRA.  Senator Saifullah Abro, Chairman Committee Power inquired about the permission given for extension of KEPCO contract up to October, 2022. “In what capacity an extension to KEPCO was granted and why the transactions have not been blocked on the expiry of its tenure”, stated, Saifullah Abro. The Vice Chairman NEPRA who was in attendance briefed the committee that regular correspondences have been made with NEPRA from July 2021 till January 2022 on the issue.

Islamabad ( 25 March 2022) : Senate Standing Committee on Power met on Friday under the Chairmanship of Senator Saifullah Abro at the Parliament Lodges and discussed matter pertaining to permission given for extension of KEPCO contract up to October, 2022. The Chairman committee inquired that why NEPRA is not taking any action against the illegitimate extension of KEPCO and why not a petition has yet been filed. The Vice Chairman NEPRA informed the committee that several correspondences have been made regarding the issue. The Chairman Committee inquired about the total transaction made to KEPCO after the expiry of its tenure to which the committee was informed that a total payment of 57 Billion rupees is made to KEPCO on the selling Units at a cost of 19.5 rupees /unit, along with the variable payment however no capacity payment was made. NEPRA informed that KEPCO has been made minimal payments with strict tariff rules on take-on-pay method and no capacity payment. Question was also raised on the status of petition before NEPRA for revision of Tariff of GENCO-I. The NEPRA authorities informed that it is not the mandate of NEPRA. The committee members showed dissatisfaction by the broken, indefinite and unsure answers by the NEPRA authorities. The committee observed that the electricity problems in the country cannot be resolved if the Power Division will continue to work in such a delayed and non-serious manner.

The committee also intended to take briefing by the Secretary, Power Division and all concerned on the implementation status of all the pending recommendations made by the committee in its meeting held during the period from 24th June to 2021 till 14 February along with issues regarding rehabilitation plan of de-licensed public sector power generation plants of GENCO-I and petition pending on the revision of Tariff of Genco-1. The agenda of the meeting also included the Bill Titled “The Regulation of Generation, Transmission and Distribution of Electric Power (Amendment) Bill, 2021” and other issues of Public importance. The committee regretted the absence of the Ministry because of which the meeting could not be preceded. The Chairman Committee informed that the Secretary Ministry requested for appearance in the meeting with a delay of 1 hr. The committee members waited for the appearance of the secretary for 1 hour but to no avail. The meeting was dismissed.

Senator Fida Muhammad, Senator Saifullah Khan Nyazee, Senator Sana Jamali and Senator Bahramand Khan Tangi were present in the meeting. The NEPRA representatives also attended the meeting.

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