SC nullifies LHC’s orders on water charges

The amount derived from bills will remain in accounts but will not be used

ISLAMABAD: Suspending the orders of Lahore High Court (LHC) on water charges, the Supreme Court has directed all the four provinces to present a report on the mechanism devised for water bills in the next hearing and directed the government to bill according to production instead of companies’ capacity.

The apex court said that the Punjab government instead of relying on companies’ metres in the province should install its own metres and the recommendations on billing mechanism should only be presented in the Supreme Court.

The top court observed that the order of LHC pertaining to water bills will remain suspended. The amount derived from the bills will remain in the accounts but will not be used.

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A three-member bench headed by Justice Umar Ata Bandial heard the case on review appeals on water commercial charges.

During the hearing, Justice Ijazul Ahsan asked how LHC nullified the notification after the orders of the Supreme Court. He said as the matter was in the apex court, LHC had lost the authority to pronounce a decision under article 199. He added that there was no way to uphold the LHC’s orders.

The counsel for the private company argued that the water charges notification was prepared earlier. However, it was released later. He added that bills up to Rs250 million were being sent to the consumers.

Justice Bandial said “We don’t want to sentence anyone. We are hearing this case as it is of public interest”.

Justice Ahsan mentioned that the government had to issue a notification within a week as per the verdict given on December 6. He maintained that everyone decried about revenue whereas this was the main source of revenue.

Justice Ahsan said to the Punjab government’s counsel that he had to submit a notification within a week and report within a month to which the lawyer replied that he would submit a clarification if the court permitted.

The Water and Sanitation Agency’s (WASA’s) lawyer told the court that bill was generated on company’s given readings.

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Justice Ahsan asked the counsel to pay bill commensurate to their production. He added that bill should be generated on the basis of reading where the metres were installed and on production basis where the meters were not installed.

Justice Ahsan maintained that the court had fixed Rs1 per litre in its verdict and added that it had ordered to charge on production basis instead of usage for the company’s own benefit.

The counsel noted that those companies which saved water from wastage should be given concession.

The court directed advocate generals of all provinces to submit a report regarding water charges mechanism in the next hearing.

The top court ordered the Punjab government to install its own metres instead of relying on companies’ meters and added that the recommendations on mechanism should only be presented in the Supreme Court.

The court pronounced that LHC’s verdict will remain suspended while the amount collected from bills would continue to be in accounts but will not be used.

The court adjourned the case until after Eid when the advocate general Punjab assured to submit a detailed report.