Rental power projects: CJP underscores need for good governance

15 Nov, 2011

Chief Justice Iftikhar Muhammad Chaudhry termed illegal appointments based on political considerations in government institutions a major hurdle in the way of good governance. A two-member bench of Chief Justice Iftikhar Muhammad Chaudhry and Justice Khilji Arif Hussain was hearing a suo motu and identical petitions filed by federal minister Faisal Saleh Hayat and PML (N) leader Khawaja Muhammad Asif against Rental Power Projects (RPPs).
"There was no loadshedding on the announcement of Prime Minister just after one public protest," the CJP remarked. During the course of hearing, counsel for Ministry of Water and Power Khawaja Tariq Rahim contended that all the RPPs were established in accordance with the PPRA rules after the approval of cabinet.
The CJP observed that the companies that failed to produce anything were given permission and 14 percent mobilisation advance instead of 7 percent without Cabinet''s consent. He further remarked that machinery was not inspected or examined by the concerned authorities intentionally whereas transparency of advertisement was also in question. Rahim submitted that billions of rupees were to be deposited by Wapda consumers, adding that cases were pending before the courts. He further said that major Wapda''s receivables were related to consumers of Khyber Pakhtunkhwa and Balochistan.
On the occasion, the Chief Justice observed that such problems could be avoided if government was capable to maintain its writ. He said Reshma Projects was still not operational and asked why Water and Power Ministry was not taking any step against the administration of that plant. Rahim apprised the bench that Reshma power project was fined an amount of Rs 1 billion.
Justice Khilji remarked that 32 percent power theft was a huge burden on those who had been paying their bills regularly. "In Karachi, DG Rangers controlled [eliminated] all no-go areas. Similarly, RPPs that are not producing power could be managed through cancellation of the contracts," CJP observed. The hearing was adjourned till Tuesday (today)

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