KESC cannot compensate for June bills: chief executive

A poor balance sheet of Karachi Electric Supply Corporation KESC, which reflects a cash loss of Rs 7.8 billion in 2006-07 due to non-payment by some consumers would not allow KESC to compensate for electricity bills for June, as demanded by the City Council.
The Chief Executive Officer of KESC, Syed Amjad, said this in a news conference at the City Council on Wednesday after its session. He said that KESC had failed to overcome cash losses of Rs 7.8 million in 2006-07 in terms of thefts by some consumers. "That is why KESC is not in position to exempt citizens of even one-day charges.'
He said that due to the efforts of his predecessor, Frank Schmidt, the KESC would be able to get 880 mw power by 2010. However, it still would not be able to meet the city's growing demand of 3000 mw per day at present.
The KESC CEO said that bids evaluation and contract awarding was underway for different power plants, in which private entrepreneurs too have been encouraged, while finance was already in place for these project.
He said that the Sale/Purchase Agreement and implementation agreement of the KESC with the new management never meant that the new management was obliged to get power plants within one year but only verbal and oral commitments to get new power plants soon was expressed by new management.
Amjad denied allegations against KESC management f mortgaging land of KESC against billions of rupees loan and investing it outside the country. He termed these allegations 100 percent conspiracy and baseless.
He said that 350 electricity towers were damaged during recent rains, of which 115 fell in Gadap town, which ultimately broke about 1700 power supply wires and caused some casualties, too." He added that this was not because of low quality infrastructure but extraordinary and multi-dimensional winds during rains and afterwards on June 23.
mjad said that 300 million Euro have been secured from Siemens, out of 350 million Euro paid to Seimens for developing power plants up to 830 mw, which it failed to develop
He said that responsibility of such poor power supply during last few years lay not on one authority but on the whole nation. Regarding per unit raise in the bills he said that no increment had been done and if there were any such cases they would be corrected. City Naib Nazim Nasreen Jalil was also present.