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Pakistan

Agreement with K-Electric challenged: Senate told

Published October 21, 2014 Updated October 21, 2014 09:57am

imageISLAMABAD: State Minister for Water and Power Chaudhary Abid Sher Ali on Tuesday informed the Senate that government had already challenged agreement with Karachi Electric Supply Company (KESC) now formally known K- Electric in court of law.

Replying to various supplementary questions during Question Hour, the minister said that the agreement with K-Electric was illegal. However, the case was in Sindh High Court and the government was actively pursing the case, he said.

The minister said that an amount of Rs.311.88 billion had been paid to KESC since 2006-07 to 2013-14 under Tariff Differential Claim to provide subsidy to the consumers.

He said that KESC owed Rs.32.79 billion to the government and was asked to pay Rs.17 billion immediately. To another query, the minister said that a sum of Rs.500 million was allocated in the PSDP 2014-15 for construction of 20 small dams in Khyber-Pakhtunkhwa and as many as Rs.100 million has been released so far.

He said that out of total 20 small dams, four dams have already been completed while four others would also be completed by December. Abid Sher Ali said that work on Dasu dam would be started soon after financial close of the project. He hoped that the financial close of dam would be completed by December this year or January 2015. He said that funds have also been released for acquisition of land for Diamer Basha dam. Similarly, he said additional 2,800 MW would be generated from Tarbela 4th and Tarbela 5th extension projects which would be completed in next three years.

He said planning was also on card to add 2000 MW electricity to the national grid system through gas power plants. Under the proposed planning, various power plants of 50 MW having total 2000 MW capacity would be set up, he said.

To a supplementary question, Abid said that the government has also made hefty allocation for up-gradation of power transmission lines as the existing system could not afford load more than 16,000 MW.

The minister said that under long term strategy, the government was working on various hydel power projects of 19,951 MW which included 969 MW Neelum Jehlum, 4500 MW Diamer Basha Dam, Tarbela 4th extension 1410 MW, 106 MW Golan Gole, 4320 MW Dasu and 7100 MW Bunji dam.

Copyright APP (Associated Press of Pakistan), 2014

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