Illegal collection in the face of Sindh govt!

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The Karachi Electric Supply Company (KESC) has decided to collect Rs 8 from every consumer on account of banking charges despite the fact that the National Electric Power Regulatory Authority (NESPRA) had declared the same as illegal in its hearing held on June 3.

It is recalled that the Nepra had barred the power company not to collect bank fee from the consumers. However, the KESC management, while neglecting the Nepra observation, has decided to go ahead with the bank charges putting an extra burden on 22 million consumers of the metropolis.

As per detail, the NEPRA had held hearing under auspices of Arif Khilji and Major Haroon on the KESC matter of fuel adjustment for the month of February and March of current year and quarterly adjustment request for January-March 2013 on Monday.

KESC Director Finance Abdul Rauf Yousuf presented the case of the KESC for increase in power tariff. The NEPRA received a number of strong arguments from public against demand of power company for hike in power tariff by Rs 178 paisa on account of fuel adjustment.

Speaking on the occasion, KESC Shareholders Association General Secretary Chaudhry Mazhar Ali critisised the NEPRA for its power capacity increasing formula for the KESC and accused the NEPRA for protecting the power company in this formula. He alleged that the NEPRA formula for increase in power generation capacity allows the KESC for less use of oil to save cost of production.

He said the KESC was buying oil from its own petroleum company instead of PSO and alleged that nobody knows that weather they consume the purchased oil from its own company or not. He claimed that the KESC was collecting bank fee in monthly fee from consumers unlawfully as other power utilities were not collecting the bank charges from its consumers. He also accused the power company of charging TV fee from religious or commercial users who do not use TV.

Responding to the argument, the NEPRA termed the KESC collection of Rs 211 million on account of bank charges from consumers in monthly bills illegal and directed the authority to overcome this issue or be ready for action. The authority also ordered power company to introduce a form for the commercial users and charge TV fee from only those consumers who have TV in their shops, offices, factories and industries.

The Karachi Chambers of Commerce and Industry (KCCI) Vice Chairman Dr Qazi Ahmed Kamal grilled the NEPRA for its alleged failure to get its rules and regulation followed by the KESC. He said the industry of the city was affected badly due to prolonged announced or unannounced power outages. He accused that the power company had failed in providing cheap and regular supply of power to the industry.

Public Issues of Citizen Rights Organisation Director Pasban Abubakar Usman said half of the city’s industry had started using gas to meet the energy requirement. He accused that the KESC had disconnected the supply of those industries who had started using gas as alternate energy source for carrying on production during load shedding and also forcing the Sui Southern Gas Company (SSGC) to stop supply of gas to such industries.

He requested the authority to bound power company for not disconnecting supply of power to those industries which were using gas as an alternate source of energy during load shedding.