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K-Electric (KE) Friday warned of severe loadshedding in summer, if SSGC fails to supply required gas to run its power plants. K-Electric has held SSGC responsible for the ongoing loadshedding and urged the federal government to intervene and resolve gas supply dispute.
Addressing a press conference Friday, Sadia Dada, Director Corporate Communication, KE said that insufficient gas supply continues to affect power situation in Karachi. The power utility is currently receiving gas supply at approximately 90mmcfd against the allocated 276mmcfd by the Economic Coordination Committee (ECC) of the Cabinet. The recent gas supply to KE power plants is even below the supply levels of the same period of last year, she added. Presently, KE's 500MW gas-fired plants are not operational due to reduced gas supply from SSGC. It has created an additional shortfall in the system. KE can run gas-based power plants even if gas supply of some 190mmcfd could be ensured, she maintained. The current gas supply level is insufficient to meet the growing power demand following sizzling summer spell. The gas supply level from SSGC is currently 90mmcfd as opposed to 163mmcfd in summer 2017 and 193mmcfd in summer 2016 on average. Due to inadequate gas supply, Sadia said.
K-Electric has made every possible effort to sign GSA with SSGC which is in conformity with National Gas Allocation Policy. The power utility has also sent copies of GSA to SSGC on various occasions to resolve this matter, she said.
Moreover, KE has made all current payments to SSGC during last 5 years and the principal outstanding stands at Rs 13.7 billion. It is unfortunate that SSGC raises sub judice issues and disputes amounts at a time of crisis while people suffer, she added.
"Our key priority at the moment is to make all possible efforts to manage load without burdening customers and we are also ensuring that all available generation is maximized. We are in contact with SSGC and the relevant authorities for early resolution of the dispute. The power situation is expected to return to normal as soon as gas supply is elevated to last year's corresponding levels," Sadia said.
She said KE is regularly paying SSGC bills and recently an amount of over Rs 1.22 billion has been paid on account of February gas bill.
KWSB has to pay Rs 34 billion of KE, but KE has not stopped services to the KWSB and providing electricity in the largest interest of the city, she added. Sadia said the peak demand of electricity touched 2,600 MW due to soaring temperatures. It is expected to escalate further in coming days touching 3,1000MW. Nonetheless, KE's key priority is to make all possible efforts to manage load without burdening customers. Due to closure of gas-fired power plants an additional shortfall has hit the system and customers in residential and commercial areas will experience unusual outages, she said and added that power shortfall is expected to increase as demand is gradually increasing due to sudden changes in weather.

Copyright Business Recorder, 2018

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