Provinces directed to clear power dues

Published November 25, 2001

ISLAMABAD, Nov 24: A high-level meeting presided over by the finance minister on Saturday asked the provincial governments to clear their electricity dues immediately to avoid at-source deduction.

The meeting that was attended by all the four provincial finance ministers, was informed that non-payment of electricity dues had created a problems for the cash-strapped Wapda.

All the four provinces specifically Sindh, since it had the largest outstanding amount, were told that if they failed to clear their dues the “federal government would be constrained to make at-source deductions,” an official source said, quoting Finance Minister Shaukat Aziz.

The meeting agreed that Wapda charges for streetlights in provincial local bodies would be reduced but the details of new rates would be worked out in the next couple of days.

The meeting asked distribution and generation companies of Wapda to reduce their losses to a reasonable level and streamline the process of billing and reconciliation.

The meeting also decided to hold a meeting of finance commission next month to finalize the award.

Deputy Chairman Planning Commission Shahid Amjad Chaudhry briefed the meeting about new development projects to be taken up during the next few years. It was decided that a meeting to be chaired by the president on Monday would approve these projects.

The meeting also discussed the question of tax and duty exemptions to Wapda companies by the provincial governments and provincial ministers were asked to take a final decision as soon as possible on the subject.

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