KMC, K-Electric embroiled in tit-for-tat war
Both parties have initiated action against each other, claim ‘unpaid dues’
PHOTO: REUTERS
KARACHI:
The power outage at the Old Karachi Metropolitan Corporation (KMC) Building, the KMC head office, continued for the fifth day on Tuesday. The rift between K-Electric and KMC continues as the former claims that the KMC owes it Rs4.11 billion in arrears and that the Supreme Court had directed the latter to start paying monthly electricity bills from April 2019 onwards. The KMC, for its part, alleges that the KE has ignored the orders of the apex court. According to Karachi Mayor Wasim Akhtar, it is the Sindh government that is liable to pay arrears of Rs580m as per SC's directives while KMC is only liable to pay monthly bills from April 2019.
Adding fuel to the fire, on Friday morning at 5am, KE cut off 71 electricity connections, including the one supplying power to KMC's head office. KMC's budget session which was to be held on Friday at the Old KMC Building was then convened at Sabzazar Park instead of the City Council Hall due to the power outage.
KMC comes to a standstill
The conflict remains unresolved despite the passage of five days while all affairs of KMC have come to a halt. The payment of employees' salaries for the month of June has been delayed as has the pension of 22,000 retired employees which is paid on the first of every month. KMC claims bills can't be printed due to the power outage. Besides, retired KMC employees live in different cities of the country and their pension is usually transferred to their bank accounts in those cities but the transactions couldn't be made as the KMC's system remains disrupted.
Tit for tat
The KMC has not remained silent on the matter either and has adopted an aggressive policy. It has reportedly begun razing KE buildings and connections present on land owned by the KMC. The local body's anti-encroachment department has demolished the boundary walls of KE's office in Shaheen Complex and razed various connections and installations at Sharae Quaideen and Nagan Chowrangi.
The metropolitan corporation claims that KE is also a defaulter of KMC and owes it millions of rupees. KMC maintains that the KE has established power stations, installed electricity poles and other connections on KMC lands. The argument, reportedly, is that the KMC has resolved that the power utility should pay rent for using KMC's land or all its structures built in those areas will be demolished. Besides, the local body says it will not permit KE to dig up roads for electricity connections in any area of the city.
A conference, headed by the mayor, was held in this regard where these decisions were reportedly taken. Legal opinion was also sought on the matter. Sources say that Akhtar formed a committee which will prepare a report pertaining to areas where KE has dug up roads to establish its connections. The committee will also gather information about the amount submitted by KE in challans. The power utility allegedly cut up University Road a couple of months ago and the mayor has sought a report on the matter. Sources suggest that KMC will approach the court after preparing these reports.
They started it: KE
The power utility claims that KMC has damaged its property in retaliation to the disrupted power supply. It has accused the local body of damaging KE premises in Qayyumabad and North Karachi.
KE maintains that according to court orders in KE's recent suit, dated July 1, 2019, no action shall be taken against the power utility without two-day's prior notice. However, KMC continued to violate the law by damaging KE property, including damaging motorcycles of KE staff. The power utility alleges that a KE guard was also injured during these incidents.
The power utility remains adamant that the KMC owes Rs4.11 billion to KE and insists that the apex court had directed KMC to begin paying monthly bills from 2019. And when KE disconnected power supply to multiple KMC connections on account of non-payment of the monthly bills since April, KMC demolished its structures without any prior notice.
KE has termed KMC's actions as a 'gross violation' of the law while maintaining that the power utility had served several notices to KMC regarding payment of monthly electricity bills before discontinuing its power supply.
Who will pay the dues?
During the session on Friday, Akhtar criticised KE and held the Sindh government responsible for the unpaid arrears. He claimed that the provincial government was deducting money from the annual funds, making it difficult for KMC to pay its employees' salaries. Referring to the power cut, the mayor remarked that it was tyrannical of the power utility company to cut off the power supply. "An elected local body leadership is organising its session in an open area."
Meanwhile, the KE has declared in no uncertain terms that the power supply would only be restored once outstanding dues are paid. KMC remains obstinate that it is the provincial government who will pay the bills. The employees of both corporations have deepened the conflict further by getting into fist fights on multiple occasions. Some employees were also injured in the conflicts.
It also stands to reason that if KMC demolishes major power stations in the city, the electricity supply all across Karachi would be affected.
The Sindh government, on its part, has yet to intervene in the matter.
Published in The Express Tribune, July 3rd, 2019.
The power outage at the Old Karachi Metropolitan Corporation (KMC) Building, the KMC head office, continued for the fifth day on Tuesday. The rift between K-Electric and KMC continues as the former claims that the KMC owes it Rs4.11 billion in arrears and that the Supreme Court had directed the latter to start paying monthly electricity bills from April 2019 onwards. The KMC, for its part, alleges that the KE has ignored the orders of the apex court. According to Karachi Mayor Wasim Akhtar, it is the Sindh government that is liable to pay arrears of Rs580m as per SC's directives while KMC is only liable to pay monthly bills from April 2019.
Adding fuel to the fire, on Friday morning at 5am, KE cut off 71 electricity connections, including the one supplying power to KMC's head office. KMC's budget session which was to be held on Friday at the Old KMC Building was then convened at Sabzazar Park instead of the City Council Hall due to the power outage.
KMC comes to a standstill
The conflict remains unresolved despite the passage of five days while all affairs of KMC have come to a halt. The payment of employees' salaries for the month of June has been delayed as has the pension of 22,000 retired employees which is paid on the first of every month. KMC claims bills can't be printed due to the power outage. Besides, retired KMC employees live in different cities of the country and their pension is usually transferred to their bank accounts in those cities but the transactions couldn't be made as the KMC's system remains disrupted.
Tit for tat
The KMC has not remained silent on the matter either and has adopted an aggressive policy. It has reportedly begun razing KE buildings and connections present on land owned by the KMC. The local body's anti-encroachment department has demolished the boundary walls of KE's office in Shaheen Complex and razed various connections and installations at Sharae Quaideen and Nagan Chowrangi.
The metropolitan corporation claims that KE is also a defaulter of KMC and owes it millions of rupees. KMC maintains that the KE has established power stations, installed electricity poles and other connections on KMC lands. The argument, reportedly, is that the KMC has resolved that the power utility should pay rent for using KMC's land or all its structures built in those areas will be demolished. Besides, the local body says it will not permit KE to dig up roads for electricity connections in any area of the city.
A conference, headed by the mayor, was held in this regard where these decisions were reportedly taken. Legal opinion was also sought on the matter. Sources say that Akhtar formed a committee which will prepare a report pertaining to areas where KE has dug up roads to establish its connections. The committee will also gather information about the amount submitted by KE in challans. The power utility allegedly cut up University Road a couple of months ago and the mayor has sought a report on the matter. Sources suggest that KMC will approach the court after preparing these reports.
They started it: KE
The power utility claims that KMC has damaged its property in retaliation to the disrupted power supply. It has accused the local body of damaging KE premises in Qayyumabad and North Karachi.
KE maintains that according to court orders in KE's recent suit, dated July 1, 2019, no action shall be taken against the power utility without two-day's prior notice. However, KMC continued to violate the law by damaging KE property, including damaging motorcycles of KE staff. The power utility alleges that a KE guard was also injured during these incidents.
The power utility remains adamant that the KMC owes Rs4.11 billion to KE and insists that the apex court had directed KMC to begin paying monthly bills from 2019. And when KE disconnected power supply to multiple KMC connections on account of non-payment of the monthly bills since April, KMC demolished its structures without any prior notice.
KE has termed KMC's actions as a 'gross violation' of the law while maintaining that the power utility had served several notices to KMC regarding payment of monthly electricity bills before discontinuing its power supply.
Who will pay the dues?
During the session on Friday, Akhtar criticised KE and held the Sindh government responsible for the unpaid arrears. He claimed that the provincial government was deducting money from the annual funds, making it difficult for KMC to pay its employees' salaries. Referring to the power cut, the mayor remarked that it was tyrannical of the power utility company to cut off the power supply. "An elected local body leadership is organising its session in an open area."
Meanwhile, the KE has declared in no uncertain terms that the power supply would only be restored once outstanding dues are paid. KMC remains obstinate that it is the provincial government who will pay the bills. The employees of both corporations have deepened the conflict further by getting into fist fights on multiple occasions. Some employees were also injured in the conflicts.
It also stands to reason that if KMC demolishes major power stations in the city, the electricity supply all across Karachi would be affected.
The Sindh government, on its part, has yet to intervene in the matter.
Published in The Express Tribune, July 3rd, 2019.