Countdown begins again: PEPCO extends deadline for KESC for ‘dues payment’
If oil supply remains stable, outages will not increase.
LAHORE:
Pakistan Electric Power Company (Pepco) has given another three days to the Karachi Electric Supply Company (KESC) “for payment of outstanding dues worth Rs28 billion” and in case of failure power supply will be stopped to Karachi, said Pepco Director General Muhammad Khalid.
Khalid, while briefing the media on Monday, said that no excuse will be accepted after the end of these three days. He said that the outstanding dues of KESC had reached up to Rs71 billion in the past but the company managed to pay Rs53 billion. However, still KESC has to pay Rs28 billion, he said.
Khalid dispelled the perception that Pepco cannot disconnect power supply to KESC, saying that “when Pepco decides to cut electricity, it will do it.”
Earlier, on Saturday Pepco gave a deadline of three days to KESC, asking it to clear its outstanding dues of Rs28 billion. However, KESC rejected the claim of outstanding dues, except for May’s bill of Rs7.5 billion. For this amount, KESC said, the finance ministry has already taken responsibility for payment as per mechanism defined in the Power Purchase Agreement.
Khalid said that the power situation is better only due to better supply of furnace oil as Pepco is getting up to 27,000 tons of oil daily against the demand of 31,000 tons. “If supply remains the same, the summer season will pass with reduced outages,” he said.
He said that power generation this year touched the maximum of 14,500 megawatts (MW). “In July, we are hopeful that maximum power will be generated, but only if the reservoirs reach the maximum along with supply of 31,000 tons of oil and 702 million cubic feet of gas.”
Khalid, however, did not give the date when he expected the crippling outages would come to an end. He only said that although the plan to generate 25,584 megawatts of electricity was being executed, he was not in a position to give any specific dates.
Published in The Express Tribune, June 7th, 2011.
Pakistan Electric Power Company (Pepco) has given another three days to the Karachi Electric Supply Company (KESC) “for payment of outstanding dues worth Rs28 billion” and in case of failure power supply will be stopped to Karachi, said Pepco Director General Muhammad Khalid.
Khalid, while briefing the media on Monday, said that no excuse will be accepted after the end of these three days. He said that the outstanding dues of KESC had reached up to Rs71 billion in the past but the company managed to pay Rs53 billion. However, still KESC has to pay Rs28 billion, he said.
Khalid dispelled the perception that Pepco cannot disconnect power supply to KESC, saying that “when Pepco decides to cut electricity, it will do it.”
Earlier, on Saturday Pepco gave a deadline of three days to KESC, asking it to clear its outstanding dues of Rs28 billion. However, KESC rejected the claim of outstanding dues, except for May’s bill of Rs7.5 billion. For this amount, KESC said, the finance ministry has already taken responsibility for payment as per mechanism defined in the Power Purchase Agreement.
Khalid said that the power situation is better only due to better supply of furnace oil as Pepco is getting up to 27,000 tons of oil daily against the demand of 31,000 tons. “If supply remains the same, the summer season will pass with reduced outages,” he said.
He said that power generation this year touched the maximum of 14,500 megawatts (MW). “In July, we are hopeful that maximum power will be generated, but only if the reservoirs reach the maximum along with supply of 31,000 tons of oil and 702 million cubic feet of gas.”
Khalid, however, did not give the date when he expected the crippling outages would come to an end. He only said that although the plan to generate 25,584 megawatts of electricity was being executed, he was not in a position to give any specific dates.
Published in The Express Tribune, June 7th, 2011.