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Power plants rake in Rs10b monthly with zero power output: NEPRA data reveals shocking truth

by News Desk
July 21, 2024
in Business
Power plants rake in Rs10b monthly with zero power output: NEPRA data reveals shocking truth

KARACHI: Former Minister of Commerce and Industry Dr Gohar Ejaz, citing National Electricity Regulatory Authority (NEPRA) data, said that at least four power plants receiving Rs 10 billion per month are running without any electricity supply.

In a post shared on X (formerly Twitter) on Sunday, Dr Gohar Ejaz referred to NEPRA data from January to March this year and highlighted how a significant portion of the country’s energy budget is being misallocated.

During this period, NEPRA made monthly capacity payments of Rs 150 billion to various Independent Power Producers (IPPs).

According to the former minister, half of these IPPs are operating at less than 10% capacity, which means they are generating almost no electricity.

“Four power plants are getting Rs 10 billion per month with zero power supply,” he said on X.

Dr. Ejaz criticized this payment system as unfair, noting that a significant amount of money, which he called “halal income”, is provided to only 40 families under the guise of capacity charges.

He argued that these charges are meant to ensure that power plants are ready to produce electricity when needed, but in this case they appear to be grossly mismanaged.

“This money, our halal income, is received by 40 families under the guise of capacity fees,” he added, criticizing the misuse of public funds.

He argued that these plants should be converted into commercial plants, meaning they would only be paid for the electricity they produce and deliver.

Dr. Additionally, Ejaz suggested that Pakistan purchase electricity from the cheapest suppliers available to ensure cost efficiency.

“The government should not do business at the expense of the people of Pakistan,” he urged, calling for an end to this exploitation.

Dr. Ejaz also urged NEPRA to include representation of all major consumers in its governance and distribution processes to ensure fair treatment and oversight.

“This exploitation must end,” he concluded.

Tags: Asif ZardariBilawal BhuttoElection Commission of PakistanELECTIONS 20224entertainmentGazaGreen PostISLAMABADIsraelKPKLAHORENawaz SharifPakistan Tehreek-e-InsafpalestinePMLNPPPPTIPUBLIC PURVIEWRawalpindiSPORTS
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