LAHORE, Dec 20: Around 95 per cent restructuring of 13 power companies is complete and they will soon start work as fully autonomous administrative and financial entities.

Wapda Chairman Tariq Hameed told to a select group of journalists from Lahore the other day at the Marani Dam, some 40km off Turbat. Mr Hameed said that the Pakistan Electric Power Company (PEPCO) would look after the affairs of the power companies -- eight distribution and three generation companies and the National Transmission and Dispatch Company.

About the shifting of the office to Islamabad, he said since the Wapda chairman was also PEPCO chief and as long as both posts were held by the same person, mere shifting of the office would not make any difference. However, he said the law could be amended or changed easily.

About the selection of the next PEPCO chief, Mr Hameed the man would be selected from the private sector and three names had been short listed for the purpose. He said that no employee would be retrenched after restructuring and surplus employees would be absorbed.

He also revealed that Wapda arrears had swelled to staggering Rs80 billion. It is largely because of official default on payments, he said, promising to make an effort to recover these dues.

Of Rs80 billion, he said the lion's share of Rs46 billion was outstanding against the NWFP and FATA. Another Rs2 billion are pending with the Sindh government, he said.

Regarding the construction of new water reservoirs, he said the authority was only an executing agency and the decision could only be taken by the federal government. But the authority was ready to execute any project decided by the government.

About the prospects of restarting the construction work of the Gomal Zam Dam, he said that the Chinese had shown willingness to return to work. They have been paid the promised compensation of $150,000, he said, adding a high-level Chinese delegation would soon visit Pakistan to negotiate details.

Replying to a query on reducing hydel production, he said that less water availability was the cause of poor power production and Wapda was relying on thermal power houses.

About the impact of increase in the consumption of furnace oil because of dip in water supply, he said that the authority was bearing an additional burden of Rs22 billion.