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Saturday, November 02, 2013


LHC orders audit of Rs 480bn paid to IPPs

Staff Report

LAHORE: Chief Justice of the Lahore High Court Umar Ata Bandial on Friday, while hearing petition against load shedding and an application challenging the recent increase in power tariff, ordered for audit of the payment of Rs 480 billion made to Independent Power Producers (IPPs).

While deferring the hearing till November 25, the chief justice also ordered to provide the load shedding schedule on the website.

Judicial Activism Panel chairman Muhammad Azhar Siddique filed this application against load shedding and electricity theft. He pointed out that there was no relief for general public even after payment of Rs 480 billions to IPPs and on the other hand recovery of equalisation surcharge has been started on electricity bills.

Joint Secretary for Water and Power Zargam Ishaq Khan claimed that unannounced load shedding has been abolished.

Chief justice remarked that the burden of inefficiency of the officers could not be shifted to the shoulders of public nor the equalisation surcharge could be recovered on electricity bills. Chief justice directed the government to make appointments of all officers including chief executive officer LESCO on merit.

Siddique submitted that the line losses caused due to theft and other reasons, poor performance of the inefficient DISCOs put extra burden on the side of administrative cost as well. He submitted that the recent increase of the electricity tariff by reducing the subsidy is an act of violation of Articles 9, 14, 18, 23, 24 and 25 of the Constitution.

He said during the hearing of main case, the court had directed WAPDA and others to file detail of payments made to IPPs on account of circular debt and also decrease of tariff with reference to certain prices.

He submitted that without fulfilling this exercise the federal government without taking the people in confidence increased tariff rate.

He said it was also a part of record that through the intervention of court’s strict action has been taken against the thieves and to control line losses.

He said the said increase in tariff and decrease on subsidy by the federal government through notifications by NEPRA may be declared illegal and without jurisdiction till the aforesaid incoming lacunas were met out.

 

Courtesy www.dailytimes.com.pk

 

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