ISLAMABAD: Senate Standing Committee on Power which met on Thursday with Senator Fida Muhammad has sought details of tariff per unit of coal-based power projects being established in Thar.
The committee was informed that per unit cost of electricity from Thar coal based power projects was Rs 18 per unit.
Senator Muhammad Afridi asked Chairman Nepra, Tauseef H. Farooqi why so expensive project was allowed. The latter replied that the local coal-based projects were approved prior to his joining Nepra. The committee directed Nepra to submit a detailed report on tariff of Thar coal projects.
Minister for Power Omar Ayub informed the committee that Thar's development is present government's priority. He said local people will be given priority in jobs in Thar projects.
He said, negotiations are in progress to produce diesel and gas from Thar coal with new technology. The officials of Sindh Engro Mining informed the committee that 4 million tons of coal has been take-out and power projects of 660 MW have been established. M/s Lucky Power is also setting up a Thar coal-based 660MW power plant at Port Qasim.
The committee was informed that Thar Foundation has been established for development of Thar where nine primary schools are set up. The company which will take out coal is to spend 2 per cent of its income on the local population.
The committee also directed the Power Division to stop recruitment process of engineers in Peshawar Electric Supply Company (Pesco) as the committee has received several complaints about recruitment process.
During discussion on Karachi Electric (KE), Special Secretary Power Division, Munir Azam said that Rs 64 billion is due against the power utility.
He further informed that Rs 35 billion losses incurred due to electricity distribution while Rs 155 billion is due to less recovery during the first 11 months of 2019-20.
Senator Siraj ul Haq said that losses in electricity are due to incompetence of Power Division, adding that there is no fault of consumers. He further stated that a subsidy of Rs 90 billion is being given to KE.
On a question, Chairman Nepra informed the committee that circular debt stock was Rs 2.150 trillion as of June 30, 2020.
Chairman Standing Committee said the committee has received 144 complaints of overbilling against KE whereas Chairman Nepra said that the regulator has received 810 complaints. He said Nepra's team is already in Karachi to investigate recent unscheduled load-shedding.
Senator Siraj ul Haq was of the view that Rs 65 billion fuel adjustment is a "dacoity" on Karachites. He also sought details of agreement between the KE and Privatisation Commission.
Comments
Comments are closed for this article.