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Pakistan Electric Power Company (Pepco) and All Pakistan Textile Mills Association (APTMA) have reached an agreement to pay immediately 25 percent (Rs 220 million) of the total due amount ie Rs 880 million and the remaining sum would be paid in six equal instalments.
The Textile industry had earlier requested for payment in nine instalments but has now agreed to pay its dues in six equal instalments of 110 million each after immediate payment of 25 percent of the outstanding amount, well informed sources revealed to the Business Recorder.
APTMA delegation had sought intervention of the Federal Minister for Textile Industry Rana Farooq Ahmed Khan on Tuesday. The Ministry was also involved in the amicable resolution of the issue. Vice chairman Seth Akbar told Business Recorder that textile industry of Lahore paid 25 percent of their pending dues to Lahore Electric Supply Company (Lesco) on Thursday.
APTMA representatives in Faisalabad had not yet paid 25 percent of their pending dues till the filing of this report, however they, too, have agreed to the deal. Dues had piled up last year in September as textile industry decided not to pay their bills as protest against the electricity tariff hike of 31 percent. The Lahore bench of the Supreme Court gave the decision in favour of Pepco directing textile mills to pay their dues.
After the decision of the apex court Pepco had warned the 83 defaulting textile mills to face disconnection on Thursday in case of failure to pay total dues. Mill owners offered to initially pay 25 percent of the total dues immediately with the request to be allowed to pay the remaining amount in 9 instalments but Pepco turned down the request and threatened the association with disconnection if payment was not made till 5 November.

Copyright Business Recorder, 2009

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