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The National Electric Power Regulatory Authority (Nepra) has not framed 80 percent of rules even after its decade long existence, informed sources told Business Recorder. The reason behind this was non-professional and politically-backed bureaucrats as members by the top decision-makers in violation of prescribed criteria.
The Nepra Act was passed by the Parliament with the task rules to be framed to keep a balance between the consumers and the utilities. Interestingly, the incumbent four members, who were enjoying the perks and privilege of a federal minister, were also responsible for not implementing the Act in letter and spirit.
"All the members are also using their political resources to grab the post of the chairman, which was vacant after the departure of Lieutenant General Saeed-uz-Zafar (Retd), who was not interested in second term because of the non-co-operation by the members," the source added.
THE RULES, WHICH WERE YET TO BE FRAMED ARE:
46(2) C: Rules for publication of rates and charges of electricity consumption, procedure for metering, billing and collection of electric power charges by the licensees;
(f) Procedure for resolving disputes amongst the licensees and consumers and licences; (g) Procedure for submission of various reports to the Council of Common Interests (CCI) or to the federal government and the manner and preparation of such reports;
(h) Procedure for inquiry and investigation into the affairs of an applicant for a licence and for any contravention of this Act;
(i) The manner and procedure of show-cause notices;
(j) Safe, effective and least environmentally harmful supply of electric power;
(k) Performance and industrial standards for supply of electric power;
(l) Standards for investment programs or power acquisition programs for transmission and distribution companies;
(m) Seeking information and the fines or penalties for failure to furnish information;
As per the Act, Nepra was given 18 months to prepare most of these Rules as per Section 32, 33, 34, 35 and 36. These rules were legislated to be in place by 1999, but not only has the regulator failed to perform as directed in the Constitutional Bill, but also lacks proper documents led to zero addition during the years of electric power surplus in 1999 and 2000.
Sources said Pakistan was faced with critical shortage and forced to enter into expensive long-term Power Purchase Agreements (PPAs) because the regulator failed to create a market and procedure to attract least cost generation.
The Private Power Infrastructure Board (PPIB) has accused Nepra of failing to realise the reality and not implementing the provisions of the Act resulting in non-competitive acquisition of electric power generation. The regulator also failed to set up provincial office of inspection as per section 38 of the Act.

Copyright Business Recorder, 2008

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