KE given show cause notice for purchase of power from NTDC, SHC told

KARACHI: The K-electric continued to underutilise its own generation capacity and kept drawing power (650 MW) from the National Transmission and Dispatch Company despite the expiry of power purchase agreement, National Electric Power Regulatory Authority (Nepra) told the Sindh High Court on Thursday.

Filing comments on a petition against the unannounced loadshedding by the K-electric, the assistant director of Nepra submitted that the Nepra has established a monitoring and enforcement department which carried out field visits and inspection besides advisories have also been issued to the KE regarding their performance.

The court had directed the Nepra to submit a report as what steps have been taken to implement its March 25 order on the K-electric regarding distribution of power.

The Nepra officer informed the court that the K-electric continued to underutilise its own generation capacity and kept drawing power (650 MW) from the National Transmission and Dispatch Company despite the expiry of power purchase agreement.

He submitted that a letter was issued to the K-electric regarding under utilisation of different power plants following a show cause notice was issued to the K-electric regarding the purchase of power from the NTDC without having a valid PPA. He submitted that the K-electric was directed by the Nepra to ensure the completion of the investment plans regarding transmission and distribution segments. He also informed that the K-electric was also imposed a fine of Rs 5 million for underutilisation of power plants that cause reduction in supply of power to the consumers. He said that Nepra was continuously monitoring the performance of the K-electric and if there are any deficiencies on part of the K-electric same was intimated to it, adding that if there was any violation of the law then the action shall be taken as per the law.

The counsel of the K-electric sought adjournment and undertook that the report on behalf of the K-electric to be filed during course of the day. A SHC’s division bench, headed by Justice Nadeem Akhtar, while adjourning the matter till March 9 observed that no further adjournment to be granted in future.

Petitioners Karamat Ali and others submitted in the petition that the KE was carrying out unannounced loadshedding in the city and issued collective bills to the consumers where power theft is reported. The petitioner also sought action against the KE for its arbitrary and unannounced loadshedding policy and practice.

The petitioner's counsel submitted that the KE was not implementing the Nepra's decision on March 25, 2016 despite its review petition was also dismissed by the Nepra.