Two resignations

Mismanagement, inefficiency and intervention

The government has got a little more on its plate than it can handle right now with the resignations of two top officials (Ogra Chief Sabir Hussain, and Khwaja Maqbool Ahmad, Member from Sindh and Vice-Chairman, Nepra) from its energy regulatory bodies. For far too long, the government has dragged the issue of reforms in energy sector; this is something that has seriously undermined its claims of being a people-friendly government and its performance on the energy front has led to big dip in its ratings. What should ring more bells, though, are the reasons behind the resignations of these officials.

The Ogra chief claims that the body is disorganised, mismanaged and inefficient. He further states that his inquiry into illegal practices of the body is being hampered, rendering his efforts useless. Thus, the resignation. Khwaja Maqbool Ahmad has cited personal reasons for his resignation, though the provincial government’s meddling into the affairs of Nepra is thought to be the main reason. This in no way casts the management of these organisations in a good light and leaves a bad taste in the mouth regarding the government’s handling of the situation.

The mess that our energy sector has become is not easy to clean up. Beset with problems, ranging from mismanagement to too much focus on fossil fuel-based energy, it is seemingly nigh impossible to set them aright. The problem does become more complex with some factors being beyond the control of government or the regulatory bodies – such as the fluctuations in the international oil prices for one and less gas being available in the country.

The problem actually seems to be how our energy profile has become lopsided with too much insistence on fossil fuel instead of renewable energy resources. Using natural gas for electricity production leaves vital industries without power and raw material. Also, not providing the same to the domestic users has political ramifications. But that in no way exonerates the government from its obligations of proper management and energy sector reforms. If anything, these problems make it even more important to carry out restructuring in the fields of energy production, distribution and regulation. Unless some concrete action is taken in this regard, there is no chance we can find a silver lining to this cloud.