ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has imposed Rs25 million each on Central Power Purchasing Agency (CPPA) and National Grid Company (NGC) for their failure to ensure blackstart facilities at various power stations under power purchase agreements and relevant legal requirements.

The legal action against the two major power sector state-owned entities (SOEs) followed a nationwide power breakdown in January 2021, which took around 20 hours to re-energise the power supply network due to non-functioning or non-availability of blackstart facilities that should be available at each power station under the laws to ensure fast recovery of power supply in the event of breakdowns.

The power plants, both in the private and public sectors, have built-in costs in their tariff for such facilities.

The CPPA is required to have standard operating procedures in place with all power plants for blackstart facilities, while NGC should have tested such facilities. While the Nepra, during the process of investigation, found that many power stations lacked such facilities and did not function when they were needed in 2021, but noted that despite subsequent instructions, almost one-third were still missing by February 2025.

Engagements during the course of show cause and hearings, the two entities tried to justify their inadequacy in enforcing contractual obligations over public sector and independent power producers and could take any legal action.

Nepra finally concluded that the SOEs’ position lacked legal and regulatory strength, overlooked the binding nature of contracts and regulations and could not demonstrate proactive enforcement of these obligations. Not only this, but the CPPA’s approach reflected delays, inconsistencies, and a lack of clarity in dealing with the matter.

It said the SOEs constituted a violation of laws and other applicable documents by failing to finalise the operating procedures with different power plants and by not signing the Black Start procedures with concerned power plants, despite repeated directions of the regulator.

During the hearings, a number of power plants adopted the stance that they had submitted the draft operating procedures to the NPCC (national power control centre of NGC) and the CPPA for approval, but could not be signed due to SOEs.

The SOEs even failed to implement specific directions of the regulator for time-bound finalisation of standard operating procedures (SOPs) and activation or commission of black start facilities.

It noted that although some progress had been made, finalising SOPs for only 75 out of 112 companies (approximately 67pc) still reflected a significant compliance gap.

Published in Dawn, December 9th, 2025