Advanced payment on power plants: SC orders power company to return money with markup

Justice Ramday says rightly or wrongly the judiciary is the custodian of public interest.

ISLAMABAD:
The Supreme Court has directed the Central Power Generation Company Limited (CPGCL) to return the money along with markup it had received in advance for setting up Guddu and Naudero-II power plants and inform the court today (Wednesday).

A three-member bench of the apex court, headed by Chief Justice Iftikhar Muhammad Chaudhry, passed the order while hearing a suo motu case on Tuesday.  The notice was taken on a news item published in The Express Tribune on December 1 about alleged irregularities in advance payment to Naudero-II and Guddu rental power projects.

The apex court then issued notices to the proprietors of the CPGCL through the National Electric Power Regulatory Authority (Nepra), Water and Power Development Authority (Wapda) and Pakistan Electric Power Company (Pepco).

During the course of hearing, counsel for the Pakistan power resources Shahid Hamid informed the court that a foreign company has been investing in the power sector which should not be doubted.

On this, Justice Chaudhry remarked that the WikiLeaks revelations have brought a bad name to the country. He added that there was no harm in surrendering and admitting.


“The real prestige lies in announcing judgments in the interest of the nation,” he said. “Let your institutions strengthen day by day.”

Justice Ramday remarked that rightly or wrongly the judiciary was the custodian of public interest. “The court wants that public money be returned,” he added.

CPGCL counsel Hasan Pervaiz informed the court that the Guddu power project was suspended due to a lack of cooperation from the government. “The required land and gas was not provided for the project,” he argued. And this led to the transfer of machinery to Naudero.

However, on the court’s inquiry, it was revealed that the machinery was transferred prior to the suspension of the Guddu power plant and advance money was again received by the said company. The court adjourned the hearing till Wednesday (today).

Published in The Express Tribune, December 8th, 2010.
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