Senate session: Private power bill passed despite dissenting voices

Opposition groups, ANP oppose Private Power and Infrastructure Board Bill.

ISLAMABAD:

Despite serious reservations by smaller opposition groups and the government’s coalition partner the Awami National Party (ANP), the Senate passed the Private Power and Infrastructure Board Bill, 2011 on Tuesday.

The bill, aimed at attracting and facilitating private investment in the power sector, has already been passed by the National Assembly. The bill will now be sent to President Asif Ali Zardari for final approval.

The Private Power Infrastructure Board was established in 1994 by the federal government through a notification and later was given legal cover through legislation.

Federal Minister for Water and Power Naveed Qamar moved the bill in Senate while ANP Senator Haji Adil opposed the move, saying: “This bill is against the spirit of the18th Amendment.”  Adil informed lawmakers that he has written a letter to the prime minister to resolve issues pertaining to the controversial bill.

Leader of the Opposition in Senate, Maulana Ghafoor Haideri, observed: “Such a move [establishing such an institution] will hurt provincial autonomy.” Speaking on a point of order, he said there was a need to amend various clauses in the bill.

One concern for the opposition leader was that hydel power projects could not be launched in any province without the prior approval of the concerned federating unit.

Power minister Qamar, on the other hand, highlighted the benefits of the bill, saying it would help the federal government implement its power policy fully, award projects and facilitate private power companies.

According to the minister, the bill will empower the concerned ministry to coordinate with provincial governments, Azad Kashmir, Gilgit-Baltistan and other regulatory bodies over the implementation of power policies.

Pakhtunkhwa Milli Awami Party member Abdul Rahim Mandokhel, however, expressed his reservation over the bill. “I will not support the bill as my proposed amendments were withdrawn by the concerned committee,” he informed the House angrily, before withdrawing his proposed changes.

On the other hand, two opposition parties in Senate, Pakistan Muslim League-Nawaz (PML-N) and Jamaat-e-Islami (JI), supported the bill after the government incorporated their proposed amendments in it.

PML-N senator Ishaq Dar and JI senator Professor Khurshid Ahmed moved six amendments, which were inserted, unopposed, into the bill during debate in the House. Dar opposed the ANP’s stance, denying that it was against the 18th amendment. Leader of the House Senator Nayyar Hussain Bokhari also endorsed Senator Dar saying, “This legislation was not an infringement on the rights of provinces.”

The power minister also informed the senate chairman that the Council of Common Interests (CCI) decided the provinces could make investments in the power sector on their own and constitute their own private power boards. “This bill has the representation of all provinces and it would only help the investors to facilitate them in making investment in power generation projects,” Qamar added.

The bill reads: “Now this Board will recommend and facilitate in developing long term power policies in consultation with the concerned provincial governments prior to taking any decision to construct or cause to be constructed…,” reads the bill.

During proceedings, some lawmakers observed that the newly passed bill will be a body with perpetual succession and a common seal with power to enter into agreements and contracts.

Senate Chairman Farooq H Naek also referred a privilege motion moved by ANP senator Zahid Khan to the relevant committee of the Upper House against concerned officials of the Benazir Income Support Programme (BISP) for not responding to a question. Senator Khan sought details of expenditures on advertisements for the programme released to different media organisations. The House will meet again today (Wednesday) at 4 pm.

Published in The Express Tribune, February 1^st, 2012.