Water and Power Minister Chaudhry Mukhtar defended the government’s decision to hold back funds for resolving the circular debt issue in order to resolve the energy crisis on Tuesday.
Mukhtar said that allocated funds could not be used up in one go as this would disturb the future payments schedule to oil marketing companies and independent power producers.
The minister, who was talking to the media during a visit to the Lahore Expo Centre to inaugurate an exhibition of energy, gas, oil and power, elaborated on the problem. Mukhtar said that most power consumers in Pakistan were not willing to pay electricity dues, leaving the government to bear the burden. Therefore, the funds which are with the ministry cannot be spent at once, because although it may provide relief in load shedding for now, it would create immense difficulties in the coming days – hence, Mukhtar concluded, amounts will be released accordingly.
Avoiding giving a deadline for when load shedding would end, the minister merely said, “We are working on this issue and will soon provide relief to the nation.” Mukhtar added that the government was focusing on improving the mechanism for recovery of dues and addressing electricity theft. He said that the defaulters have built up dues to Rs80 million and that they were now starting to disconnect such individuals’ electricity supply.
Nearly 80 companies from over ten countries participated in the Expo. The exhibition displayed state of the art equipment and machinery related to the oil, gas, and energy sectors. Participating states included China, Germany, USA, Italy, New Zealand, Sri Lanka, Sweden, Canada and Pakistan.
Published in The Express Tribune, September 19th, 2012.
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