The Nandipur circus

Despite the fact that none of the multiple inquiries into the troubled Nandipur Power Plant have concluded, the government has applied for a 44 percent increase in the cost of the same power plant. Earlier this year, on April 15, Nepra approved an overall cost of Rs45 billion for the plant amid long-standing rumours that the cost of the project was set to be jacked up after its failed inauguration by Prime Minister Nawaz Sharif in May. The Northern Power Generation Company Limited (NPGCL) has now asked for the price to be increased to Rs65.4 billion. It has issued a stark warning that the project will become a complete failure if the new cost revision is not allowed. This means the government faces an unenviable choice: let the Rs45 billion spent on the Nandipur Power Plant already go down the financial drain or spend another Rs20 billion in the hope that the project will finally become functional. Reports indicate that the judicial commission inquiry into the project will be headed by former Supreme Court judge Rehmat Hussain Jafferi, who has been offered the position after ex-Justice Nasir Aslam Zahid refused the offer.
Over a month has passed since the government promised three separate inquiries into the failure of the Nandipur Power Plant. None of these has made any headway yet, except the project’s managing director having been reportedly sacked on Wednesday night. The NAB inquiry into the power project is set to work on its own mechanisms. The government’s approach to ‘fixing’ the problems in the Nandipur Power Plant seems to be all over the place. According to some reports, the government has decided to resolve the issue of the fuel treatment plant first. At the same time there is also talk that the government is planning to outsource the project for six months. Still others say the government will likely wait out the storm. There are multiple issues regarding the Nandipur Power Plant that require answers: dysfunctional machinery, outsourcing contracts to banned companies and ever escalating costs. Despite much turmoil and public humiliation over the plant’s failure, the government still remains committed to creating a smokescreen around the project and taking key decisions away from the public eye. That has caused many eyebrows to be raised, leading most to wonder if there has been criminal plundering of public funds into the wrong kind of equipment. The government would be well-advised to leave all decision-making aside until the inquiries into the project are concluded.