ISLAMABAD: The government has reportedly prepared amendments to the National Electric Power Regulatory Authority (Nepra) Act to bring its own man at the top position of the power regulator aimed at ensuring the choice and speed of its implementation decisions.
This secret move was initiated just a month before the expiry of the term of the incumbent Chief of Nepra, Tauseef H Farooqi, who is considered a persona non grata by the Power Division since the day he met former Prime Minister Imran Khan without prior intimation to the Power Division.
However, the million-dollar question which came under heated discussion on Monday is who is the “blue eyed” who will be the next boss of the power regulator.
PM forms body for comprehensive review of Nepra law
On January 13, 2023, Business Recorder ran a story that Prime Minister Shehbaz Sharif has constituted a committee headed by former prime minister Shahid Khaqan Abbasi for a comprehensive review and legislative improvements in Nepra Act as the government is unhappy with “undue activism” of power regulator.
The committee included Minister for Power, Khurram Dastgir Khan, Minister for Defence, Khawaja Asif, Minister for Commerce, Syed Naveed Qamar, Minister for Industries and Production, Syed Murtaza Mahmud, Minister of State for Finance, Dr Aisha Ghaus Pasha, Minister of State for Petroleum and Natural Resources, Dr Musadik Masood Malik.
The Committee was tasked to review “The Regulation of Generation, Transmission and Distribution of Electric Power Act, 1997 (as amended up to 2021)” and to suggest legislative improvements. The committee was empowered to co-opt a member/expert as per requirement.
The draft Ordinance, which was ready to be presented before the Cabinet, was dropped due to unforeseen developments.
The proposed amendments, if approved, would introduce significant changes to the NEPRA Act and grant increased powers to the chairman, as well as alter the criteria for their appointment.
According to the draft amendments, one of the most contentious changes is the eligibility criteria for the slot of Chairman. The amendments would allow both serving and retired civil servants to be appointed as Chairman, with a retired officer of Grade 22 or equivalent also eligible for the role. Critics argue that this provision could open the door for political interference and compromise the independence of NEPRA’s decision-making process.
Another key amendment aims to abolish the age limit of 60 years for the chairman, enabling individuals to serve in the position for an indefinite period. This move has raised concerns about the potential lack of fresh perspectives and the possibility of individuals holding the position for an extended duration, thereby reducing the likelihood of a smooth transition and potential for innovation within NEPRA.
Furthermore, the amendments would require a minimum of 20 years of relevant experience for the qualification of chairman. While experience is undoubtedly valuable, critics caution that such a stringent requirement could limit the pool of qualified candidates and hinder the inclusion of individuals with diverse backgrounds and fresh ideas.
The NEPRA authority, as per the proposed amendments, would consist of a chairman and four specialized members, all appointed by the federal government. This centralized appointment process has raised concerns about the potential for political influence in the selection of individuals who may be sympathetic to the interests of certain power companies, including K-Electric.
Copyright Business Recorder, 2023