115,000 Wapda staffers transferred to corporate firms
By Khaleeq Kiani
ISLAMABAD, April 3: Wapda has transferred its 115,000 employees of grade 16 and below to 12 distribution, transmission and generation companies with effect from April 1, Wapda sources told Dawn.
The remaining workforce of around 5,000, primarily in the officer cader (BS-16 to 21), would be transferred to these companies by April 30.
A formal agreement to this effect was faxed to the chief executives of 12 corporate companies from Wapda House, Lahore on Monday; it was signed by the respective chief executives the same day, these sources confirmed.
Under the agreement, existing service benefits, originally available to Wapda employees, would stand protected in the corporate companies. For all practical purposes, Wapda employees have become employees of the corporate companies and board of directors of these companies would have the powers to fix further perks and privileges for them.
From now on, no employee of one corporate company would be able to be transferred to the other distribution or generation company and would continue working under the existing company until such time these companies are finally privatized.
The board of directors of corporate companies and chief executives would have the power to sack, suspend or recruit employees independently instead of seeking approval from Wapda.
These companies would now be supervised by Pakistan Electric Power Company (Pepco), a holding company and umbrella organization of 12 corporate companies established under Wapda’s ‘corporatization’ plan instead of being historically controlled by residual Wapda.
In another major policy decision, National Electric Power Regulatory Authority (Nepra) has committed to issue licences to eight distribution companies of Wapda latest by April 30 to formally give them independent status, these sources said.
The distribution licences of Lahore Electric Supply Company (Lesco) and Quetta Electric Supply Company (Qesco), said Nepra sources, have been prepared and would be formally issued within a week’s time.
With this, four distribution companies, including Islamabad, Faisalabad, Lahore and Quetta, would have formal distribution licences by the end of next week.
The remaining four licences to Hyderabad, Peshawar, Gujranwala and Multan electric supply companies would be issued before the close of this month under an understanding reached with the World Bank.
During the last three years, Nepra has been able to issue distribution licences to only two companies including Islamabad and Faisalabad Electric Supplies Companies though the two companies still have reservations about their service territories.
With these two steps most of the major milestones of the World Bank-funded ‘corporatization’ plan have been completed barring separate financial modelling and separate tariff rates for each distribution company.
Separate tariff for all companies is the major hitch now haunting the federal government and Wapda in view of the fact that in some cases the average tariff for consumers like those in the NWFP and Balochistan may cross Rs10 per unit and in some cases, as in Islamabad, stay at the current level because of the losses situation.
This is going to be a major social mis-match the government has been unable to address as yet.
Wapda believes that separate tariff could result in law and order situation in some parts of the country and create a sense of deprivation in the poor and far-flung areas.
Under the ‘corporatization’ plan, eight distribution and three generation companies of Wapda are to be finally transferred to the private sector through privatization while national transmission and dispatch company (NTDC) would continue to be a national entity as common carrier.
