PHC stops Pesco from collecting two surcharges

PESHAWAR: The Peshawar High Court (PHC) on Friday stopped Peshawar Electric Supply Company (Pesco) from collecting Tariff Surcharge and Financial Cost Surcharge in the monthly electricity bills of industrial units in the province.
A single bench of Justice Waqar Ahmad Seth suspended the notification regarding imposition of the new surcharges while hearing writ petitions of industrial units and factories. The court directed the federal government and Pesco to submit replies before the next hearing.
The petitioners’ lawyer Shumail Ahmad Butt submitted before the bench that on June 10, 2015 the Pesco on the direction of the federal government imposed the two new surcharges, arguing that this was in violation of the law and the decisions of the superior courts. He submitted that the people of this province were already facing price-hike and they couldn’t afford such illegal surcharges.
He argued that under Article 157 (2) (c) of Constitution the power to impose such surcharges rested with the provincial government. He stated that the federal government imposed the surcharges through Finance Act, which was unlawful as the government could only impose taxes and not surcharges under the act. After the preliminary hearing, the bench suspended the notification and issued the stay order restraining the Pesco from collecting the surcharges till next order of the court.