Govt unable to recover Rs408b power dues
06 September, 2012
ISLAMABAD: The government seems unable to make any progress to recover power sector dues worth of Rs 408 billion from different institutes including federal, provincial, autonomous bodies and private departments, which has worsen the power situation in the country, it has learnt on Wednesday.
Sources has informed The Nation that power sector dues had increased to Rs 408 billion as till last week. However, the government did not seem interested to recover it in order to resolve the existing power crisis, as the country is facing over twelve hours a day loadshedding. The independent economists and power sector experts believed that government could resolve the electricity crisis in the country if it recovers dues. They said that government has easy way for power sector revenue generation by increasing the power tariff every month under the different heads.
They said that government should move ahead on the issue with all stakeholders to minimise the circular debt in the power sector that is compounding the energy crisis.Sources said that Prime Minister Raja Pervaiz Ashraf while chairing a meeting on power situation has also directed the concerned ministries to devise plan to recover power dues. However, no concrete plan has been devised yet. On the other hand, according to the reports, stalemate continued between Pepco and provinces on the issue of their outstanding arrears as receivables claimed by Pepco are highly exaggerated. According to the break-up of power dues worth of Rs 408 billion, the federal government's department had to pay Rs 125 billion, provinces Rs 85 billion and private sector Rs 198 billion. Sources had revealed that Sindh government and Karachi Electricity Supply Company (KESC) have to pay Rs 55 billion each to Pepco, giving a grand total of Rs 110 billion.
The official said that actual problem was that Sindh government maintained that the receivables claimed by Pepco were exaggerated. He further said that there was no dispute in electricity arrears against Punjab government and it had begun clearing its arrears. There are some problems with Khyber Pakhtunkhwa (KPK) and Balochistan but these are expected to be resolved soon.