Domestic consumers, traders, seasonal factory owners, industrialists and Multan chamber opposed the power tariff hike proposed by Multan Electric Power Company (Mepco) in a public hearing, which was organised by National Electric Power Regulatory Authority (Nepra) at Aiwan-i-Sanat-o-Tijarat, Multan, on Monday.
A three-member Nepra team heard the Mepco's petition seeking Rs 2.20 to 3.60 per unit or 20 per cent increase in power tariff. Mepco sought an increase of Rs 2.50 upto 50 units, Rs 2.20 upto 100, Rs 2.90 upto 300, Rs 3.28 upto 700, and Rs 3.60 above 700 units for domestic consumers, Rs 3.70 to Rs 6.20 per unit increase for commercial consumers Rs 3.30 per unit for industrial consumers Rs 2.10 for agricultural consumers.
Chief Executive Officer of Mepco Muhammad Shakeel Chaudhry and Finance Director Mushtaq Hussain Bukhari submitted that the Mepco was the biggest distribution company with its infra-structure in 13 districts and its line losses have increased to 16.50 per cent.
They stated that the court had forbidden passing on the fuel adjustment price to its customers up to 350 units. They contended that this tariff was not sufficient to meet revenue requirements of Mepco, which led the latter to file a review motion that was turned down earlier. They said that Mepco had planned to invest Rs 6,932 million on different projects to facilitate the consumers while its operation and maintenance expenditures have swelled to Rs 8,782 million they said while quoting the Mepco tariff petition.
The Consumer Protection Association's Rao Iftikhar argued that the petitioner's request for increase in consumer-end tariff was unjustified as the petitioner had proved to be inefficient in meeting the targets set by the Nepra in previous years. "It (Mepco) has failed to comply with the Nepra directions for reducing its losses from 16.5 per cent to 15 per cent," Rao Iftikhar said, adding that according to estimates one per cent reduction in losses was equal to Rs 1 billion saving for the Mepco.
He mentioned that Islamabad Electric Supply Company (Iesco), Gujranwala Electric Power Company( Gepco) Faisalabad Electric Supply Company (Fesco) had brought down their electricity losses to less than 12 per cent. Some variations of 2-3 per cent of losses can be justified, but a difference of over 6.5 per cent compared to other Discos is unjustified, he submitted before the Nepra.
He said that this inefficiency of the petitioner in recovering its dues from consumers was curtailing its capacity to pay for electricity to Central Power Purchasing Agency (CPPA). "This ultimately adds to the increasing circular debt, which is the main cause of electricity shortfall and load shedding," he said. Chairman of National Electric Power Regulatory Authority (Nepra) Ghiyas-uddin said that petition for increasing the power tariff of the Mepco would be decided within 15 days and point of view and interest of the consumers would be protected.
He bitterly criticised the lavishly spendings of the Mepco on different heads and asked them not to waste public money as they are custodian of this wealth. Shaukat Ali Kundi, Habib ullah Khilji (members) assisted them. Bakhtawar Tanvir'A Sheikh Senior Vice President of MCCI, Mian Iqbal Hassan, Khawaja Muhammad Hussain (MCCI) Khawaja Muhammad Azam represented the PCGA and seasonal consumers, Khawaja Jalaluddin Roomi, Khawaja Muhammad Younus represented the Masood Fabrics and Roomi Cotton ginning industries, Chairman of Markazi Anjuman Tajiran Khawaja Muhammad Shafiq, Malik Jind-Wadda Awan, Zafar Iqbal Siddiqui. A representative of Thal industries also joined the meeting.
Comments
Comments are closed.