Faisalabad Wasa fails to pay officers’ salaries
Rs2.545 billion sought from housing dept as Covid-19 outbreak hits revenue
A Reuters file photo.
FAISALABAD:
Having failed to pay salaries to its officers last month due to less recovery of bills amid the Covid-19 pandemic, the Faisalabad Water and Sanitation Agency (Wasa) has demanded Rs2.545 billion from the provincial housing department to meet its operational, development and non-development expenditures.
Wasa used to collect Rs100 million per month from the consumers till February, but the amount has dropped to Rs40 million since the lockdown was imposed by Punjab government to prevent the spread of novel coronavirus.
The agency paid salaries to only regular employees of pay scales one to 15 last month, while officers serving in higher grades were not paid.
Due to its financial problems, Wasa also laid off 900 daily-wage employees in February, after which the affected workers held rallies to press their demand for the restoration of their service.
The new financial demand from the agency includes a grant of Rs250 million for the payment of pension and salaries of staff for May and June, payment of electricity bills for March to June amounting to Rs300 million, Rs155 million for a French project, Rs206 million for the monsoon season,Rs930 million for operation and maintenance of the French-funded project for the next three years, additional funds of Rs663 million to meet budgetary requirements due to the lockdown and combating the outbreak of coronavirus and urban immovable property tax share for January and February of approximately Rs40 million.
The Wasa administration has also taken up a proposal with the National Electric Power Regulatory Authority (Nepra) to change the tariff charged by the Faisalabad Electric Supply Company (Fesco) from it to commercial from industrial rates as it cost about Rs60 million every month. It has also requested the department to take responsibility of paying Wasa’s electricity bill, citing the example of Sindh government’s policy regarding the Hyderabad Electric Supply Company in this regard.
Sources said the Punjab government was yet to take up the submissions of Wasa for consideration.
Talking to The Express Tribune, Wasa Finance Director Azam Malik said that if the existing situation persists and a bailout package is not granted by government, then on one hand Wasa would not be in a position to pay next month’s salaries of employees and on the other hand its management would have no option except to reduce water supply timings, which would be unbearable for the consumers.
He said Wasa had no alternative business plan for coping with the emerging situation and there was a likelihood of disconnection of water and sewerage connections over nonpayment of bills. He said the Wasa authorities were focusing on revision of the industrial electricity charges imposed two years ago by Nepra.
The official said a summary for a 200% increase in water tariff had been pending since 2006 with the housing and physical planning department.
Published in The Express Tribune, June 2nd, 2020.
Having failed to pay salaries to its officers last month due to less recovery of bills amid the Covid-19 pandemic, the Faisalabad Water and Sanitation Agency (Wasa) has demanded Rs2.545 billion from the provincial housing department to meet its operational, development and non-development expenditures.
Wasa used to collect Rs100 million per month from the consumers till February, but the amount has dropped to Rs40 million since the lockdown was imposed by Punjab government to prevent the spread of novel coronavirus.
The agency paid salaries to only regular employees of pay scales one to 15 last month, while officers serving in higher grades were not paid.
Due to its financial problems, Wasa also laid off 900 daily-wage employees in February, after which the affected workers held rallies to press their demand for the restoration of their service.
The new financial demand from the agency includes a grant of Rs250 million for the payment of pension and salaries of staff for May and June, payment of electricity bills for March to June amounting to Rs300 million, Rs155 million for a French project, Rs206 million for the monsoon season,Rs930 million for operation and maintenance of the French-funded project for the next three years, additional funds of Rs663 million to meet budgetary requirements due to the lockdown and combating the outbreak of coronavirus and urban immovable property tax share for January and February of approximately Rs40 million.
The Wasa administration has also taken up a proposal with the National Electric Power Regulatory Authority (Nepra) to change the tariff charged by the Faisalabad Electric Supply Company (Fesco) from it to commercial from industrial rates as it cost about Rs60 million every month. It has also requested the department to take responsibility of paying Wasa’s electricity bill, citing the example of Sindh government’s policy regarding the Hyderabad Electric Supply Company in this regard.
Sources said the Punjab government was yet to take up the submissions of Wasa for consideration.
Talking to The Express Tribune, Wasa Finance Director Azam Malik said that if the existing situation persists and a bailout package is not granted by government, then on one hand Wasa would not be in a position to pay next month’s salaries of employees and on the other hand its management would have no option except to reduce water supply timings, which would be unbearable for the consumers.
He said Wasa had no alternative business plan for coping with the emerging situation and there was a likelihood of disconnection of water and sewerage connections over nonpayment of bills. He said the Wasa authorities were focusing on revision of the industrial electricity charges imposed two years ago by Nepra.
The official said a summary for a 200% increase in water tariff had been pending since 2006 with the housing and physical planning department.
Published in The Express Tribune, June 2nd, 2020.