AIRLINK 80.60 Increased By ▲ 1.19 (1.5%)
BOP 5.26 Decreased By ▼ -0.07 (-1.31%)
CNERGY 4.52 Increased By ▲ 0.14 (3.2%)
DFML 34.50 Increased By ▲ 1.31 (3.95%)
DGKC 78.90 Increased By ▲ 2.03 (2.64%)
FCCL 20.85 Increased By ▲ 0.32 (1.56%)
FFBL 33.78 Increased By ▲ 2.38 (7.58%)
FFL 9.70 Decreased By ▼ -0.15 (-1.52%)
GGL 10.11 Decreased By ▼ -0.14 (-1.37%)
HBL 117.85 Decreased By ▼ -0.08 (-0.07%)
HUBC 137.80 Increased By ▲ 3.70 (2.76%)
HUMNL 7.05 Increased By ▲ 0.05 (0.71%)
KEL 4.59 Decreased By ▼ -0.08 (-1.71%)
KOSM 4.56 Decreased By ▼ -0.18 (-3.8%)
MLCF 37.80 Increased By ▲ 0.36 (0.96%)
OGDC 137.20 Increased By ▲ 0.50 (0.37%)
PAEL 22.80 Decreased By ▼ -0.35 (-1.51%)
PIAA 26.57 Increased By ▲ 0.02 (0.08%)
PIBTL 6.76 Decreased By ▼ -0.24 (-3.43%)
PPL 114.30 Increased By ▲ 0.55 (0.48%)
PRL 27.33 Decreased By ▼ -0.19 (-0.69%)
PTC 14.59 Decreased By ▼ -0.16 (-1.08%)
SEARL 57.00 Decreased By ▼ -0.20 (-0.35%)
SNGP 66.75 Decreased By ▼ -0.75 (-1.11%)
SSGC 11.00 Decreased By ▼ -0.09 (-0.81%)
TELE 9.11 Decreased By ▼ -0.12 (-1.3%)
TPLP 11.46 Decreased By ▼ -0.10 (-0.87%)
TRG 70.23 Decreased By ▼ -1.87 (-2.59%)
UNITY 25.20 Increased By ▲ 0.38 (1.53%)
WTL 1.33 Decreased By ▼ -0.07 (-5%)
BR100 7,629 Increased By 103 (1.37%)
BR30 24,842 Increased By 192.5 (0.78%)
KSE100 72,743 Increased By 771.4 (1.07%)
KSE30 24,034 Increased By 284.8 (1.2%)
Pakistan

Karachi Administrator Murtaza Wahab resigns after KE stopped from collecting local tax via bills

  • Resignation comes after Sindh High Court strikes down decision to include KMC tax in electricity bills
Published September 26, 2022

Karachi Administrator Murtaza Wahab resigned from his position on Monday after the Sindh High Court (SHC) struck down his decision to charge Municipal Utility Charges and Taxes (MUCT) for Karachi Metropolitan Corporation (KMC) through consumers’ electricity bills.

In a press conference, he said K-Electric was chosen to collect MUCT because it is a public limited company that is audited regularly.

“K-Electric (KE) is regulated by National Electric Power Regulatory Authority (Nepra) and submits its balance sheet to the Pakistan Stock Exchange (PSX),” he said. “These are the reasons why I opted to delegate the responsibility of collecting MUCT to a large company instead of private contractors.”

SHC stops K-Electric from collecting municipal charges through electricity bills

It also enabled KMC to approach the Securities and Exchange Commission of Pakistan (SECP) and Nepra in case an issue arose with KE, Wahab said.

According to him, collection of MUCT through KE would have raised KMC’s revenues from Rs160 million to Rs3.25 billion and made it more efficient as the entire process would have been documented.

He also clarified that he implemented the decision in light of article 100 of the Sindh Local Government Act.

“We took this matter to the cabinet and notified the public,” he said. “The entire process took one year.”

KE terms power to levy tax ‘govt domain’

Following SHC’s decision, “we all know that our efforts will now be fruitless,” Wahab said. He added that he will continue serving the city as there was no need to hold a position for it, lamenting that the policy of commercialisation has ruined the infrastructure of Karachi.

On Monday morning, SHC ordered K-Electric to stop collecting MUCT for KMC through consumers’ electricity bills.

During the hearing, Wahab had argued that addition of KMC charges in electricity bills can enhance revenue collection, with the additional amount used to uplift Karachi.

The court said taxes collected by KMC, prior to this move, were not utilized in Karachi. Wahab replied that they were being used to pay for different uplift schemes across the city.

The court noted that the state of sewerage and infrastructure of Karachi was in deplorable condition “hence we are unable to see where the tax is being used.”

Comments

Comments are closed.

Kashif ALI Sep 26, 2022 08:01pm
This reminds me of Recko Diq fiasco by a CJP and then Dam fund by a more stupid, narcissist CJP. Today's Pakistan is a mess of dirty garbage.
thumb_up Recommended (0)