ISLAMABAD: The Senate Standing Committee on Power on Wednesday was informed that around Rs 900 billion was being paid to the Independent Power Producers (IPPs) per annum under head of capacity payment.
The committee which met with Saifullah Abro in the chair took up the agenda item rehabilitation plant of de-licensed public sector power generation plants, improvement of power generation of all GENCOs, state of petition pending before NEPRA for revision of Tariff of GENCO-1, recovery of circular debt from K-Electric, kunda connection and electricity theft in Islamabad Electric Supply Company.
Briefing the Senate Panel, the official of Power Division informed that salaries of employees working in all public sector power generation companies were around Rs 5 billion. An amount of Rs 2 billion was being paid under salary head to employees of those power plants which were going to be shut down, they said.
The Chairman observed that on one hand Rs 900 billion per annum was being paid under capacity payment to IPPs while on the other hand there was no amount to pay salaries to the employees of public sector power plants.
Briefing the committee, Chairman NEPRA Tauseef H Farooqi said that he had asked the concerned quarters to bring a concrete plan for rehabilitation of GENCOs. However, he said no progress was made in this regard so far, he added.
The Chairman NEPRA said de-licensing of power plants were in domain of the authority. The efficiency of power plants were examined before their closures, he added.
He said the country has surplus power installed capacity and we have power plants to have generation capacity of 37000 MW to 38, 000 MW. NEPRA allowed those power plants which generated low cost electricity, he added.
The Chairman Committee directed power division to bind all DISCOs for eliminating kunda connections in their respective companies in order to curtail circular debt.
The committee also sought names of board of directors who remained members since 2002.
The meeting was attended by Senators Fida Muhammad, Sawar Khan Nayzee, Zeeshan Khanzada, Prince Ahmed Umar, Sana Jamali, Haji Hidayatullah and Talha Mehmood and other senior officials of ministry of power division, Chairman NEPRA and its attached departments.