KARACHI: The Public Account Committee (PAC) of the Sindh Assembly has recommended initiation of action against the K-Electric for its categorical refusal to pay the provincial government its outstanding dues to the tune of overRs29 billion.

Informed sources told Dawn that the PAC expressed grave concern and displeasure over the lethargic attitude of the power utility in resolving the issues of dues with the provincial government.

They said that the PAC in its meeting, presided over by its chairman Nisar Ahmed Khurho, also recommended action against the KE as the power utility categorically refused to pay the provincial government its outstanding dues to the tune of over Rs29bn, telling the committee that the provincial government owed to the power utility outstanding electricity bills of over Rs33bn.

The sources said that the KE had told the PAC meeting that it would pay its dues to the provincial government only after its bills were paid.

Power utility states efforts underway to find amicable solution for outstanding amounts, electricity duty.

They said that the PAC was informed that the KE had not deposited the electricity duty to the province for the past some years and certain actions could be initiated against the power utility for challenging the writ of the provincial government.

The energy secretary suggested that the PAC could recommend to the federal government to cancel the license of the KE.

The sources said that the PAC said that the power utility had lost the confidence of the provincial government. They said that the PAC also recommended to Mayor Murtaza Wahab for the withdrawal of the decision of the Karachi Metropolitan Corporation to collect municipal tax through electricity bills.

Meanwhile, a KE spokesperson said in a statement on Wednesday that the power utility and the Sindh government were in contact over “reconclided due and electricity duty” and efforts were underway to find an amicable solution. It said that the KE was waiting for the clearance of settlement amount.

Special body irked by KE chief’s absence from meeting

On Wednesday, the absence of KE chief executive officer in the maiden meeting of the Special Committee of the House irked the members, who asked as to who the power utility was answerable.

The assembly had last week established an 11-member special committee of the lawmakers to examine the proposal for suspending KE’s license after adopting a unanimous resolution tabled by Pakistan Tehreek-e-Insaf-backed Sunni Ittehad Council member Sajjad Ali.

The committee was formed not only to review K-Electric’s performance but also to assess the operations of Hyderabad Electric Supply Company and Sukkur Electric Supply Company.

The committee was headed by Pakistan Peoples Party member Fayaz Ali Butt and included Leader of Opposition Ali Khurshidi, Jamaate Islami’s, Muhammad Farooq, PTI’s Muhammad Shabbir and Sajjad Ali, Najam Mirza of Muttahida Quami Movement-Pakistan, and PPP members Saleem Baloch, Yousuf Baloch, Sadia Javed and Ghulam Qadir Chandio.

Mr Khurshidi told Dawn that the special committee took exception to the absence of the KE CEO and observed that the power utility chief had breached the privilege of the special committee.

The special committee decided to issue call-up notice to the KE CEO with the committee chairman saying that the house body had the authority to give punishment to anyone who breached committee’s privilege.

Meanwhile, the sources said that the special committee would hold its second meeting on Thursday (today) and chiefs of all power utilities in the province have been asked to attend the meeting.

Published in Dawn, September 19th, 2024