Sindh CM urges PM again to help resolve dispute

RECORDER REPORT

KARACHI: Sindh Chief Minister Syed Murad Ali Shah has written another letter to the Prime Minister to direct SSGC and K-Electric to immediately resolve their issues in public interest and provide immediate relief in load-shedding to the city residents and industry.

The DO letter dated April 9, 2018 also referred to his earlier letter of March 30, 2018 on the same matter.

Sindh CM says in his letter that in order to resolve the matters between KE & SSGCL and to find ways to mitigate the ongoing electricity load-shedding in Karachi, he had convened a meeting on April 7, 2018 which was attended by the management and board members of the two entities. Management of both the companies were cognizant of the overall situation and presented their respective positions on the issue.

The chief apprised prime minister that SSGCL, in public interest, offered to increase the gas supply through gas management plan provided KE pays security deposit, resolve outstanding payment issues, and sign GSA. The KE, on the other hand, committed to provide security deposit and expressed readiness to sign GSA on mutually agreed terms.

He further said in letter the SSGCL held an emergent board meeting on Sunday (08.04.2018) which reportedly approved supply of 120 MMCFD natural gas to the KE upon furnishing Rs 6 billion security deposit that is equivalent to three months average bill of 150 MMCFD gas supply and signing of mutually agreed TORs for appointment of an independent chartered accountant firm. The KE, however, maintains that payment of markup/late payment surcharge to SSGCL is a complex matter as it, in turn, involves recovery of outstanding electricity dues from federal government (tariff differential subsidy) and other strategic bulk consumers.

Murad Shah further said, although, both utilities have shown flexibility for the resolution of issues, excessive electricity outages still persist and the city has not received any relief, so far. The residents of the metropolis and local industry are still enduring electricity outages of over 10 hours daily. Continuous rise in summer temperature has further aggravated the whole situation, especially when students are appearing in secondary school board examinations. Possibility of a serious law and order situation cannot also be ruled out.

The chief minister, therefore again requested the prime minister to direct both the companies to immediately resolve their issues in public interest and provide immediate relief to Karachi residents and industry. He also asked him to direct SSGCL to supply at least 190 MMCFD to KE for optimal generation of electricity. He proposed a committee may also be constituted comprising representatives from federal and provincial governments, SSGCL and KE to sort out outstanding payment issues.