ISLAMABAD, May 14: Release of the entire Rs7 billion to only one power producer last week will dominate the discussion at a high-profile meeting being held here on Tuesday on the power crisis, Dawn has learnt.

President Asif Ali Zardari and Prime Minister Yousuf Raza Gilani will co-chair the meeting indicating the seriousness of the government to solve the problem which has provoked widespread ire, especially the PML-Q, its major coalition partner.

“The president has taken serious notice of the release of funds to plants owned by an influential person in Punjab and sought details,” a reliable source said.

On May 10, President Zardari asked the finance ministry to release funds to power companies and fuel suppliers to ease the crisis.

The finance ministry released Rs7 billion for distribution among Independent Power Producers (IPPs) and fuel suppliers. But, the source said, the ministry of water and power paid the money to an influential person in Punjab.

The second issue is of fuel adjustment after about eight months. It was not acceptable to consumers to pay fuel adjustments in their electricity bills after eight months. The government will have to bring it at least to the current month level or with a gap of one month. And the third issue is the payment of tariff differential subsidy. The subsidy will amount to Rs30 billion.

Or the government will bring down the per unit electricity cost to Rs8 and raise the gas price to make up the shortfall. The increase in the gas price will earn about Rs30 billion.

According to the source, the government should keep the gas price for domestic users unchanged and raise it for others.