Nandipur power project: Supreme Court urged to take notice of non-issuance of clearance letter

Former managing director of Pepco, MD SSGC Munawar B. Ahmad has lamented over the likely termination of the Nandipur Power Project by the Chinese, saying that it appears that the government is not moved on the matter in spite of the directives of the Supreme Court that the project issues should be settled and project completion be expedited, he told Business Recorder on Monday.
Munawar said nearly two years have elapsed since this issue was self created by the Ministry of Law, under the then minister, Babar Awan. He said the Chinese had asked for issuance of a simple letter by the MW&P on the amendment in the LC requested, incurring no cost to the Pepco / Genco.
However, the Ministry of Law had reportedly withheld the letter without reason, he said, adding: "Apparently the subject file is still awaiting some "push" or "directives" from the President / PM Secretariat." According to him, there have been many rumours that hefty commissions have been demanded, which the Chinese were not forthcoming to give. Now, with two years elapsed, a cost increase in the project of nearly Rs 100 billion, and additional losses in payment of interest, currency devaluation etc, loss in revenues / profit due to non-operation, loss to the national economy due to extra load shedding, which would amount to about another Rs 30 to Rs 50 billion, have been incurred.
Munawar posed a question that is a payment of a commission of a few million dollars really worth an additional cost of $150 million for the project and a loss of additional capacity of Nandipur 425MW, Chicho Ki Malian 525MW as well as several other projects of over 1,000MW under construction by the Chinese.
Clearly, he added, the powers in the government are not interested in either resolving this matter, or the energy crises and load shedding, but only wish to fill their deep pockets with ill-gotten gains. The people of Pakistan are being subjected to worst ever power shortages and energy crisis, and now with the Chinese threatening to withdraw from many projects, we have a much larger crisis in our hands, he deplored. It may be noted that the Nandipur and Chicho Ki Malian, Pakistan's lowest cost power projects, which were being implemented by fast track by Pepco/Genco have been sacrificed by the various Ministers of Water & Power and Law, over the past 4-5 years.