ISLAMABAD: K-Electric (KE) has approached the Power Division for early approval of Pakistan Penal Code (PPC) (Amendment), Act 2022 to curb theft of electricity, claiming contribution of hooks (kundas) and theft that reached over Rs 39 billion during the first three quarters of the current fiscal year.
Chief Executive Officer (CEO) K-Electric Syed Moonis Abdullah Alvi, in a letter to Minister for Power, Khurram Dastgir Khan argued that early approval of this Act is necessary to save the country’s power sector from theft.
Appreciating Power Minister for his continuous efforts to resolve long standing issues that obstruct the power sector’s sustainability and particularly his focus towards curbing circular debt and prioritising affordable electricity, CEO also explained the issue of his own company.
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The Criminal Procedure Code offences are either cognizable by police (arrest can be made by police without warrant), or by Court (a complaint has to be filed before the Court, which then decides whether or not to allow the police to investigate and arrest).
This amendment was made through Criminal Law (Amendment) Ordinance, 2013 and promulgated in 2014. The law as it stood had an anomaly whereas through an amendment to the Schedule of the Criminal Procedure Code, the offences relating to electricity were made cognizable by the police but Section 462-0 made them cognizable by the Court alone.
Since the main Act prevails over the schedules, the Courts had held that direct FIRs with the Police by the Discos (ie, without first a complaint to the Court, which is the Session Court in this case), were void, and arrests made by the Police unlawful. The Power Division argues that if the police are given unfettered powers to take cognizance, it would simply create another excuse for the police to harass the consumers. There is, thus, an urgent need to rectify the present situation that the Power Division finds itself in.
Hence, the proposed draft amendment makes the offence cognizable by the police, but only if the ‘information’ in writing is provided to the Police by a Grade 17 officer of the Government or the Disco.
CEO KE, in his letter sought the Minister’s support in strengthening the existing process of taking legal action against electricity theft.
According to him, in the backdrop of recent macro-economic challenges and inflation, this is critical to address the escalating incidents of power theft and the increasing trend of default in current payments, both of which are exacerbating circular debt.
These challenges also compound operational and financial viability of power utilities, even though KE attempts to overcome them through efforts including: (i) regular removal of hook connections from KE infrastructure with frequent monitoring;(ii) conversion of LT bare conductors to ABC and Kunda conversion through low-cost meters;(iii) easy installment offers to facilitate customers with outstanding dues; and (iv) doorstep collections through Mobile Customer service centres and recovery camps in areas .
“Unfortunately, the ability to make meaningful progress in combating theft, disconnecting defaulting customers and removing kundas(hooks) is impaired due to gaps in the existing legal framework,” he said, adding that in KE’s case, this is a significant contributor to the recording of a nine-month loss of PKR 39.4 billion as of March 2023 and the concern that this situation will further aggravate.
Alvi further stated that the power utility company is very mindful that this is a very critical time nationally and similar concerns are likely being mirrored by other Distribution Companies (DISCOs), requesting Minister’s intervention in expediting passing of PPC (Amendment) Act 2022 by NA (if not already passed) from Senate and issuance of gazette notification for its promulgation as soon as possible. The power utility company argues that this will expedite the resolution of a key barrier in curbing electricity theft.
Copyright Business Recorder, 2023