Lakhra power plant losses 'reach Rs12 billion'

Senate panel informed about Iran's stoppage of power supply to Balochistan


Our Correspondent August 02, 2018
Senate panel informed about Iran's stoppage of power supply to Balochistan.PHOTO: REUTERS/ FILE

ISLAMABAD: A parliamentary panel was informed on Thursday that Tehran has halted power supply to Balochistan following rising domestic demand in Iran due to a heat wave.

The Senate Standing Committee on Power in its meeting was informed that Iran had been exporting 80MW of electricity to Balochistan but stopped supply due to rising domestic demand.

The panel was also informed that Iran had also stopped exporting electricity to Afghanistan and other Central Asian states for the same reason.

"Iran has stopped supplying 80 megawatts of electricity out of 100 megawatts in total that it normally exports to Pakistan," Power Division officials said.

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"This is because of the heat wave in Iran that has increased the power demand domestically," they added.

Tehran's move has affected power supply in areas along the Makran coast, including Gwadar, Panjgur and Pasni.

Meanwhile, Lakhra Coal Power Plant CEO informed the committee that the power plant consisted of three units each of 50 megawatts.

"From 2007 to date, its losses amount to Rs12 billion," he said, adding, "Administrative expenditure along with employee-related costs are the reasons for the losses."

The committee demanded a complete list of employees and expenditure incurred on salaries and pensions.

The committee met with Fida Muhammad in the chair and stressed that the Lakhra Power Plant should be upgraded and tariffs should also be discussed with National Electric Power Regulatory Authority (Nepra) in accordance with the situation.

The power ministry official also informed the committee that 650 megawatts of electricity was being supplied to K-Electric (KE) on the directions of the Sindh High Court (SHC).

The committee was told that the agreement to supply electricity to the power utility in Karachi had expired in 2015 while work on a new agreement has been completed.

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"Other related issues will be discussed when the Shanghai Cooperation takes over the power utility from the Abraaj Group," the panel informed.

The Nespak managing-director briefed the committee that the institution was established in 1973 and it is a public institution with a board of directors chaired by the Power Division secretary.

The total number of employees working in Nespak is 5,323. Its work is divided among 10 divisions and 652 projects have been completed during the last three years.

The institution has earned Rs6 billion and 150 different projects are running in 37 countries around the world.

The committee also took serious notice of electricity shortfall in different districts of Balochistan.

Senator Fida Muhammad recommended that concrete measures should be taken to resolve the issue at the earliest.

While discussing the problems faced by Industrial units in the country, the committee sought details of new electricity connections being provided to the Hattar Industrial Estate.

Mian Muhammad Ateeq Shaikh complained about low voltage issues in the industrial zone owned by him.

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Sepco CEO informed the committee that 10 districts come under its range. He revealed that there were 54 grid stations in rural areas, and recovery was a serious issue there, as he lamented the lack of police support in this regard.

The Pepco CEO, while briefing the committee, said 50 per cent recovery has been achieved in Bannu, while the recovery status of Malakand Division is 100 per cent.

The committee chairman stressed that it was unfair that despite 100 per cent recovery no development funds were earmarked for the area.

He directed the power ministry officers and DISCO chiefs to chalk out a mechanism to motivate consumers to pay electricity bills. "This," he asserted, "can be recovered in instalments."

The meeting was attended by senators including Moula Bux Chandio, Aurangzeb Khan, Moulvi Faiz Muhammad, Mushahid Ullah Khan, Muhammad Akram, and senior officers of the Power Division, Nespak, Qesco, Hesco, Sepco and Pesco.

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