Supreme Court (SC) on Friday ordered Sindh Government to extend help to Karachi Metropolitan Corporation (KMC) by paying over Rs580 million outstanding amount it owes to K-Electric (KE) on account of electricity bill. SC directed the provincial government to pay the outstanding amount in five instalments and also ordered KMC to pay the electricity bill from its own resources due from April 01, 2019.
At Karachi Registry, a two member bench of SC comprised of Justice Maqbool Baqir and Justice Sajjad Ali Shah issued the orders in petition, which was filed by KMC against the verdict of Sindh High Court (SHC) to pay over Rs580 million it owed to electricity utility in February this year.
During the current week, SC held three hearings on the case and had ordered stakeholders i.e. Sindh Government and KMC to come up with a workable solution to this issue a couple days back.
Court showed displeasure over the inability of both the stakeholders for presenting the solution and observed that the political tussle has brought miseries to the citizens of the metropolis.
Court in its ruling stated that Sindh Government and KMC should decide mutually the distribution of resources and powers between themselves.
Earlier KE counsel prayed the court to get his client its due money as the power utility doesn't want to be dragged between Sindh Government and KMC.
Advocate General Sindh Salman Talabuddin told the court that provincial government is ready to pay Rs100 million in the next fifteen days. He explained the government can't not pay the entire amount in one go and also admitted that both provincial and city governments have been engaged in tussle over funds.
Mayor Wasim Akhtar submitted before the court that KMC can pay the amount to KE if provincial government gave it its rightful share in the finances. Secretary Local Government Sindh said that KMC has its own revenue to the tune of Rs1.60 billion annually. Mayor Karachi conceded that KMC can raise its revenue when Secretary Local Government suggested that why doesn't increase its revenue.
Mayor pleaded that we need to understand the issue of Karachi irrespective of it who holds the office of Mayor. He asserted that how Karachi could develop when it was not given its due share in revenue.
Court asked Mayor Karachi to inform the court about the powers and revenue which have been withdrawn from his office. Mayor informed that provincial government has taken away many functions of KMC like local taxes, licensing fees, water board, transport, master plan etc.
Justice Maqbool Baqir said that the court would decide about the distribution of powers. Justice Sajjad Ali Shah said that apparently it seemed to be "trust deficit" issue, which is being observed in the entire country.
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