ISLAMABAD, Jan 5: The arbitral tribunal led by Pakistan’s former Chief Justice Ajmal Mian has asked the NWFP government and Wapda to submit details of their respective interpretation of AGN Kazi formula for determination of NWFP’s share in net hydel-profit, it has been learnt.

Informed sources told Dawn on Thursday that the five-member tribunal had held one meeting since its inception on October 31 last year and was likely to meet again in February next to hear arguments of both sides.

They said the tribunal was unlikely to announce its award within the stipulated six months period because the issue was highly complex and the tribunal had to examine huge record piled up after 1991 water accord.

The sources said the NWFP had provided a list of questions to Wapda on its interpretation of the AGN Kazi formula. Wapda, on the other hand, had also handed over its arguments and calculations to the NWFP a couple of weeks ago.

The NWFP had asked Wapda to respond to these interpretations and provide it with counter arguments and calculations within a month. It means exchange of documents, arguments and calculations between the two parties would take another few weeks after which the tribunal would convene its second meeting to hear viewpoints of the two parties.

The tribunal, constituted to resolve longstanding dispute between the NWFP and the Wapda over computation of net hydel-profit, had formally started its proceedings on November 9. Whatever the award of the tribunal, it will be binding on both parties.

The tribunal was appointed by the federal government through a trilateral agreement signed by NWFP, Wapda and federal ministry of Water and Power to decide the dispute within a period of six months period, which is extendible through mutual consent of the parties.

The NWFP is represented in the tribunal by Senator Prof Khurshid Ahmed and Mr Abdullah, chairman NWFP public service commission. Former Wapda member for power Javaid Akhtar and member for finance Manzoor A Sheikh are representing Wapda in the tribunal.

The NWFP has a claim of about Rs350 billion arrears on Wapda on account of net hydel-profit since 1991-92. Wapda, on the other hand, has a counter claim that it had made full payments to the NWFP at an average Rs6 billion per annum under the AGN Kazi formula.

Both the parties have difference of opinion over interpretation of Kazi formula in terms of computation of net hydel-profit. The tribunal will examine the AGN Kazi formula in the light of arguments of both parties, original wording of the AGN Kazi formula and decisions of the council of common interest (CCI) and give its own interpretation which would be treated as final and binding on both the parties.

According to terms of reference, the arbitral tribunal shall decide the dispute in accordance with the decisions of the CCI dated January 12, 1991; September 12, 1993; May 29, 1997 and December 22, 1998.

It will also determine the amounts due and payable to the government of NWFP in respect of financial years 1991-92 to 2004-05. In case of any payments made by Wapda over and above the amounts so determined by the tribunal, the overpayment shall be refundable by the NWFP to Wapda or the federal government, as the case may be.

The tribunal shall also lay down a schedule of payment. Without prejudice to the right of the NWFP government to take up its claim on computation of net hydel-profits for the period between 1973-74 and 1990-91 separately with the federal government, the tribunal shall determine the payments or overpayments due from the parties, as the case may be, of net hydel-profit from financial years 1991-92 to 2004-05.