Karachi
The FPCCI has appealed to Prime Minister Imran Khan that in the current situation, the sale of K-Electric would be disastrous for the industrial sector and the sale of K-Electric should be stopped. K Electric has a monopoly on distribution.
According to details, the FPCCI has written a letter to the Prime Minister against the high tariff and sale of shares of K Electric, in which it has appealed to stop the sale of K Electric. The FPCCI has said that in the current situation, the sale of K Electric It will be disastrous for the sector. The sale of K Electric will be a big blow to the industries of Karachi, Hub and Dhabeji. K Electric generation plants are inefficient and distribution losses are high.
The letter said that billions of rupees have already been paid to K Electric from the state exchequer, adding that the sale of K Electric without reforms will not reduce the burden on the national exchequer. Electricity tariff for K Electric customers is higher than the five discos of Punjab. Even after 16 years of privatization, K Electric transmission distribution losses are 19.5%.
The letter said that K-Electric was committed to reducing T&D losses by 15% in 2015. K-Electric’s privatization agreement in 2005 stipulated a reduction in losses. The losses of government discus are less than those of Electric. 4. MEPCO has 15.7 losses.
The FPCCI said that power from K Electric’s faulty power plants is being supplied to consumers, industries at exorbitant rates, faulty plants are being scrapped across the country, there is also surplus power in the national grid, Billions of rupees have been subsidized for 16 years. Electric like WAPDA has not been divided into generation, transmission, distribution. WPDA has been abolished and NTDC, 10 Discos, 5 Gencos have been set up.
The letter said that cheap electricity is the right of consumers and industries of Karachi. A separate distribution company and a separate IPP should be set up by abolishing K Electric and disco, IPP Merit, which will replace K Electric in CPPA.
