Minority shareholders of the Karachi Electric Supply Company (KESC) have condemned the management of the power utility for holding its General Body Meeting at Port Muhammad Bin Qasim located almost 40km away from the old city area, resulting in only 48 of the 1,200 shareholders being able to attend the poorly organised meeting.
The shareholders also condemned the power company for negligence in improving its power generating capacity as it has reduced electricity generation by 1.34 billion kWh in the past five or so years.
In a statement issued on Tuesday, the KESC Shareholders Association (SHA) said the association’s office-bearers – including Vice President Javed Akhtar, Joint Secretary Muhammad Farooq and General Secretary Chaudhry Mazhar Ali – have expressed concern over reduction in the power generating capacity of the company that has been relying more on supply from the Independent Power Producers (IPPs), Water and Power Development Authority, and industries.
According to the statement, the KESC was generating around 9.3 billion kWh in 2005 and only 7.96 billion kWh during 2009-10.
Power generation has steadily declined in the past six years after foreign firms took over the KESC management.
The power utility generated 9.3 billion kWh, 9.13 billion kWh, 8.16 billion kWh, 8.66 billion kWh and 8.26 billion kWh during 2004-05, 2005-06, 2006-07, 2007-08 and 2008-09 respectively.
However, according to the SHA, the KESC is claiming that the shortage in electricity generation is being fulfilled with supply from the IPPs and rental power plants.
Besides, the shareholders also claimed that the management has sold 100 to 150 cars and Mounted Tower Ladder vehicles at negligible rates, the costlier of those at less than Rs 100,000 each; however, the KESC said the vehicles were sold in scrap.
The SHA also said the KESC’s in-house/auxiliary losses had increased by 7.5 percent from the previous rate of 6.1 percent, whereas the international standard of losses was only 3.2 percent.
Moreover, the meeting that was held at Port Qasim was not attended by many shareholders as they could not reach the location due to distance, traffic and other issues.
The thin attendance this year was due to the inadequate arrangements, especially those regarding transportation, made for the shareholders to reach the site of the meeting.
KESC Chairman Waqar Siddiqui had also not arrived from Dubai to attend the meeting, so Chief Executive Officer Tabish Gauhar had chaired the meeting.
Unfortunately, the statement said, an ugly situation arose during the meeting when KESC Secretary Monis Alvi refused the shareholders a break of half an hour for prayers.
The shareholders protested the refusal, but the chairperson continued the meeting despite the absence of majority of shareholders.
Arif Bilwani, a prominent KESC shareholder, demanded the management to hold the next meeting somewhere in the Old City Area; his demand was also supported by other shareholders.
