Standing Committee on Power debates on the Bill “The regulation of Generation, Transmission and Distribution of Electric Power (Amendment) Bill, 2020”

Islamabad, February 22, 2021 (PPI-OT): The Standing Committee on Power which met under the Chairmanship of Chaudhry Salik Hussain, MNA deliberated on the Bill “The regulation of Generation, Transmission and Distribution of Electric Power (Amendment) Bill, 2020”. The Committee had sought answers from the Ministry on the clauses relating to the imposition of surcharge and opined that there is ambiguity in the collection of surcharges by the DISCOs and by the Federal Government.

Mr. Salik Hussain and Members said that cross subsidy be eliminated and each DISCO should have its own tariff based on its cost structure and Aggregate Tariff Cost (ATC) loss level. The Chairman observed that if the Ministry is to impose surcharge it should only be for existing stock of circular debt and it may be levied as a flat kwh/hr across all DISCOs and consumers and not for some specific DISCO. For the surcharge, Government of Pakistan should explicitly narrate the various purposes and the inefficiency of the DISCOs should not be passed on to the consumers in form of surcharge.

The Ministry should in clear cut terms state how it intends to segregate the future periodic tariff increases, determined by NEPRA from time to time. The Ministry was also asked to brief the Committee on the “Circular Debt Management Plan”. The Chairman pointed out that as peoples representative, he is interested to know the impact of the bill on the masses. The bill was deferred for the next scheduled meeting with the direction to give rationale/justification for the imposition of surcharge through legislation.

2. The Committee gave its nod of approval to the budgetary proposals amounting to Rs. 143.13 billion relating to Public Sector Development programme (PSDP) for financial year 2021-22, of the Ministry of Energy (Power Division).

3. The Committee appointed a Sub-Committee with the following ToR and Composition: ToR:
“To discuss and recommend for resolving the issues faced by the Legislators with respect to Karachi Electric Company (KE) and different DISCOs of Sindh”.

Compositions:

i). Mr, Lal Chand, MNA – Convener

ii). Syed Ghulam Mustafa Shah, MNA – Member

iii). Ms. Saira Bana, MNA – Member

iv). Engr. Sabir Hussain Kaim Khani, MNA – Member

4. Besides the Minister Mr. Omer Ayub Khan, the meeting was attended by MNA’s Mr. Sher Akbar Khan, Ms. Ghulam Bibi Bharwana, Mr. Saif Ur Rehman, Mr. Lal Chand, Engr. Sabir Hussain Kaim Khani, Mr. Muhammad Israr Tareen, Ms. Saira Bano, Mian Riaz Hussain Pirzada, Shazia Marri, Secretary, Ministry of Power Division and senior officers of the relevant departments.

For more information, contact:
Secretary
National Assembly of Pakistan
Automation Centre,
National Assembly Secretariat,
Parliament House,
Islamabad – Pakistan
Tel: +92-51-9221082-83
Fax: +92-51-9221106
Email: [email protected]
Website: www.na.gov.pk

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Author: madmin