Notification of electricity price hike submitted in SC

Published October 1, 2013
The Supreme Court of Pakistan.—File Photo
The Supreme Court of Pakistan.—File Photo

ISLAMABAD: The Supreme Court of Pakistan on Tuesday ordered authorities to immediately present in court the notification of the recent hike in electricity prices, which experts say have been raised by up to a whopping 210 per cent.

The government had announced on Monday the sharp increase in tarrif for domestic electricity consumers across the country.

A three-judge bench of the apex court, led by Chief Justice Iftikhar Mohammad Chaudhry, was hearing a case taken up after a suo motu notice on rampant load shedding in the country.

During the course of proceedings on Tuesday, the chief justice remarked that a rise in electricity tariff directly affects the country's poor masses.

Deputy Attorney General Ateequr Rehman informed the court that the price increase had been brought into effect not by National Electric Power Regulatory Authority (Nepra) but the federal government.

The chief justice said that the government could not implement such a hike without an approval by the main power regulatory body.

He said that despite paying off circular debt, the power shortfall still stood at over 2000 megawatts.

Upon being asked by the court, Rehman submitted in court the Sept 30 Nepra notification of tariff increase.

During the hearing, the managing director of the National Transmission and Dispatch Company (NTDC) said that total revenue of Rs 941 billion had to be raised during one year due to which electricity price had been increased. However, he said that the hike would not affect consumers using 200 units or less.

The Nepra chairman said that the power sector runs on cash and that a shortage of money causes load shedding and power cuts. He said that due to the lack of recovery during the past six years, the receivable amount had risen to Rs 441 billion.

The chief justice asked why this burden was being passed down to consumers who paid their bills. “If you are unable to recover the dues then you should figure out a solution,” he said.

Justice Jawad S Khawaja remarked that even the circular debt was paid off by burdening the common man. He remarked if the country would continue to be run in such a dictatorial manner rather than according to the law and constitution.

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