Proposal to raise power tariff hits snags

Law ministry wants to know status of court cases against tariff hikes.

ISLAMABAD: A plan to increase the power tariff by 12% may be shelved, as the law ministry has not given its go-ahead to the Ministry of Water and Power for official notification of the tariff. 

A senior government official told The Express Tribune that the law ministry on Thursday returned a summary sent by the Ministry of Water and Power for vetting of the notification relating to the power tariff hike.

“The law ministry wants to know the status of cases against raises in the power tariff, before it vets the notification,” the official said, adding that the Cabinet Committee on Restructuring (CCOR) has also not authorised any decision to raise the power tariff.

Meanwhile, according to an issued statement, the CCOR on Energy and Power met here on Thursday under the chairmanship of Federal Minister for Finance and Economic Affairs Dr Abdul Hafeez Shaikh. The committee discussed the appointment of CEOs of Distributing Companies (Discos) operating in Pakistan. The committee also discussed recommendations given by the Board of Directors of different Discos for the aforementioned appointments. The committee analysed the recommendations and issues of Discos of each region separately.

The CCOR decided to expand the board of the Hyderabad Electricity Supply Company for further strengthening of the latter’s organisational structure. The Minister for Water and Power, Secretary Finance, Secretary Water and Power and other concerned officials were present in the meeting.

Published in The Express Tribune, May 4^th, 2012.