Rental power projects case: Reshma power plant pays up sans markup

Published: November 19, 2011

SHORTFALL: 5 megawatts is the amount of electricity being generated by Reshma Rental Power Plant, which had been paid billions of rupees in advance.

ISLAMABAD: 

Reshma Rental Power Plant has reimbursed the Rs4.5billion mobilisation advance it received for generating electricity, according to a report submitted in the Supreme Court by the Pakistan Electric Power Company on Friday.

But the payment was not made in dollars nor did it include the two-year markup, in violation of the court’s directive.

A day earlier, the apex court had ordered the company to return the mobilisation advance it had received in dollars with markup by Friday or “get ready to face legal action”.

Reshma power plant earned interest for two years on the mobilisation advance without generating power in accordance with the contract signed with the government. The company claimed it generated 5 megawatts.

A division bench comprising Chief Justice Iftikhar Muhammad Chaudhry and Justice Khilji Arif Hussain was hearing a suo motu case and identical petitions filed by federal minister Faisal Saleh Hayat and PML-N leader Khawaja Muhammad Asif against corruption and mismanagement in rental power projects. The court will resume hearing on Monday.

Illegal appointments in Port Qasim Authority

On a petition filed by Abdul Jabbar Memon against the “illegal appointment” of 686 people in the Port Qasim Authority (PQA) on verbal orders of Minister for Ports and Shipping Babar Khan Ghauri, the apex court sought a reply from the government.

A division bench, headed by the chief justice, also directed the PQA to pay Memon his salary and allowances withheld since 2007 till November 28.

He was fired by the authority for objecting to the “illegal recruitments”. He contended that majority of the “illegal appointees” belong to central and west Karachi.

“The quota reserved for other provinces and rural areas of Sindh was ignored in violation of basic human rights of deserving candidates,” he claimed.

The bench ordered the attorney-general to present records of the appointments and issued notices to all the respondents to appear before the court. The hearing was adjourned till December 13.

(Read: SC’s campaign against corruption)

Published in The Express Tribune, November 19th, 2011.

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Reader Comments (2)

  • Cautious
    Nov 19, 2011 - 8:02AM

    A day earlier, the apex court had
    ordered the company to return the
    mobilisation advance it had received
    in dollars with markup by Friday or
    “get ready to face legal action”.

    I guess the Supreme Court has forgotten that it’s decisions are “legal action”.

    Recommend

  • Nov 19, 2011 - 8:10AM

    This is open defiance of the Supreme Court’s orders in fact ‘contempt of court.’ How can they go about doing business in such ignominy and defiance? There is obviously a hidden hand behind this because if the the sanctioning authority, was clean then the ‘due date’ of trial, testing and commercial operations would have been adhered to. Recommend

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