K-Electric (KE) Chief Executive Officer (CEO) Moonis Abdullah Alvi has conceded that Karachi’s power utility does resort to power loadshedding in different localities of the provincial capital but it does not have any authority to determine the electricity prices for its consumers.
The KE CEO stated this on Thursday while appearing before a special committee comprising members of the Sindh Assembly that was formed to look into the affairs of the three power distribution companies in the province, including the KE.
The KE chief had not turned up for the committee’s meeting on Wednesday earning the lawmakers’ ire.
Earlier speaking in the Sindh Assembly, Muttahida Qaumi Movement-Pakistan lawmaker Najam Mirza said officials of Sepco and Hesco, the other two power suppliers in Sindh, had appeared before the committee a day earlier, but the KE chief failed to show up.
He said that another chance had been given to the KE CEO to appear before the committee by convening its meeting later in the evening and privilege proceedings would be initiated against the chief of Karachi’s power utility if he again failed to show up before the panel.
Later during the assembly session, Sindh Home and Law Minister Ziaul Hassan Lanjar also warned that a privilege motion would be moved against the KE chief if he again failed to show up before the committee later in the day.
He also warned of issuing warrants against the KE CEO in case he chose to remain absent from the committee’s meeting.
In a defiant tone, while appearing before the committee, the KE chief said the government could go ahead with its move of rescinding the licence of the city’s power utility as in that case, the government should itself assume the function of power supply to consumers in the city.
He maintained that the KE had no power to set the electricity rates for its consumers. Alvi told the legislators that there was a mechanism in place in the country to determine the power tariff under the aegis of the National Electric Power Regulatory Authority (Nepra) that had granted permission to increase the electricity rates. He suggested that a committee comprising the concerned MPAs and officials of the KE be formed to sort out the power issues of Karachi.
He said the KE did not resort to power loadshedding in the areas where there was no pilferage of power. He said the KE resorted to power loadshedding in such areas where the instances of electricity theft were high and power bills were not paid by consumers. He said that such issues had also been discussed in the National Assembly’s session.
The legislators raised the pressing issues of prolonged and recurring power failures in the city, frequent loadshedding at essential water pumping stations, and inflated bills being sent to the power consumers in the city every month.
Later, in a statement, a spokesperson for the KE said the KE CEO and senior officials in the committee meeting discussed electricity duty, provincial government dues and various matters with the elected representatives.
The committee members acknowledged the KE’s improved performance compared to other distribution companies in the country and also appreciated the power utility’s progress in the Village Electrification Program, the statement read.
Alvi clarified the issue of electricity duty and sought cooperation from the committee members on the settlement of payments on reconciled dues. He stated that as per federal laws and regulatory guidelines, the rate of electricity charged to customers in their monthly bills across Pakistan was same under the uniform tariff policy.
The KE spokesperson said an agreement was reached for more meetings between elected representatives and K-Electric to prevent electricity theft and ensure timely bill payments.
The KE CEO also highlighted the challenges due to theft and non-recovery of electricity dues. He clarified the company’s position on load-shedding as being limited only to areas where high theft of electricity prevails. He urged the elected officials to suggest ways to tackle electricity theft in cooperation with KE and in the interest of the public, the statement read.