ISLAMABAD: In a letter to K-Electric on Thursday, the Ministry of Water and Power asked Karachi's power-generation company to effectively address the current situation allegedly arising out of its (K-Electric’s) violation of performance standards and licensing conditions.

The letter referred to media reports and recent debates in the National Assembly on Karachi's power woes, pointing out that since K-Electric was licensed under National Electric Power Regulatory Authority (Nepra), it was mandatory for the regulatory authority to closely monitor the company to ensure compliance with licensing terms and relevant regulations.

The letter said: "In particular, your attention is also invited to the fact that reports of frequent tripping and analysis show that there has not been sufficient investment in improvement of distribution system by K-Electric, which should have been improved by appropriate investment and full utilisation of the generation capacity available with K-Electric".

The letter said the ministry had on several occasion written to K-Electric about its non-compliance of various laws, particular regarding performance standards.

"We would strongly urge the regulator (Nepra) to conduct an in-depth audit and inquiry/investigation to ensure that issues arising out of any non-compliance are effectively addressed and the licensee is held duly accountable", the letter said.

Earlier today, Minister for Water & Power Khawaja Asif while addressing the Parliament said that the federal government did not have a current legal duty to provide electricity to K-Electric.

Asif said the agreement with K-Electric had expired and will be renewed.

“The new agreement will be brought to Parliament's Water and Power standing committee and we will ask this House for guidance and then a new agreement with K-electric will be signed,” Asif said.

“Right now we have no legal obligation to give them [K-Electric] electricity but we do give it to them, 650 megawatts of it,” the minister said. “Because it is our responsibility as federal government to not lead to an increase in the problems of the people of Karachi.”

Asif further said that according to his information, K-Electric had a plant which was closed because it was being transferred from oil to coal.

“But they do have 700-800MW ideal capacity of electricity. If they work that plant they will have more electricity but they don’t use that plant,” he said. “They take 650MW from us, if they use their own plant we can give that 650MW to the rest of the country.”

Talking further about the electricity issue, the minister said he had contacted Nepra yesterday. “I told them that as a regulator they should have taken notice of the issue in Karachi.”

He further added that in 2005, K-Electric (then KESC) was first sold to a Saudi group and then in 2008 there were illegal changes made in the entire agreement after which the company was given to a new owner.

“The changes in that are illegal in my point of view,” he said. “If the House wants, we can scrutinise the 2005 agreement and 2008 both.”

Earlier, Asif said that in such incidents the provincial government must also fulfill its responsibilities.

“If there are problems in hospitals, it’s the responsibility of the provincial health department to tackle them,” he said. "Doing dharnas and asking for my resignation will not solve anything; the provincial government also needs to fulfill their responsibilities.”

He added that the federal government is an umbrella and according to the constitution it is present and willing to do what it must.

The minister also said that previously it was said that there is no room in cemeteries anymore but if housing schemes are being built over cemeteries then there is bound to be no space for the dead when living people live on them.