MUSHTAQ GHUMMAN

ISLAMABAD: The Board of Directors (BoD) of Private Power and Infrastructure Board (PPIB) is to discuss the removal of incumbent Managing Director of PPIB, Shah Jahan Mirza, in its forthcoming meeting, a senior official of Power Division told Business Recorder.

The removal of MD PPIB is under discussion in the Power Division, since the day, Prime Minister, Shahid Khaqan Abbasi issued verbal instructions for his ouster during a meeting on energy issues.

“We have obtained opinion from the concerned Ministry and a formal summary will be tabled in the forthcoming meeting of the Board as a formal agenda item,” the official added.

Insiders claim that the Minister for Power, who is also the Chairman of PPIB, is not in favour of the incumbent MD. The MD PPIB had sought help from Minister of State for Power Division, Abid Sher Ali, to convince Awais Leghari not to proceed against him but did not succeed.

Officials in PPIB revealed that while presenting the un-written agenda, Chairman PPIB i.e. Minister for Power, Sardar Awais Ahmad Khan Leghari stated that in the context of merger of AEDB with PPIB, the entire regime is going to change wherein the mandate and profile of the organization would be enhanced and accordingly, he intends to seek permission of the Board Members with regard to re- advertisement of the position of the Managing Director PPIB. He, however, appreciated the efforts of the current MD for his outstanding performance in terms of adding thousands of MW of power to the national grid.

The member, representing Government of Sindh, inquired about the remaining term of the employment of the current MD. It was explained that the term of the MD’s position will expire in September this year. He argued that in view of the situation where the organization is undergoing a merger, the current MD would be in a better position to run the affairs of PPIB during the transition period and as such the Board should consider retaining the current MD during this transitory phase, as the merger plan may take considerable time.

The Minister clarified that the services of the current MD will continue till selection of new MD is completed. MD PPDB (Punjab Power Development Board) said that since the term of employment of the MD is being governed by relevant clauses of the PPIB Act, which should be taken into consideration for reaching an informed decision and whatever tenure security the Act offers, the same should be extended to the current MD.

On a query regarding legal position in the matter, Director Legal highlighted that according to the PPIB Act, the Federal Government can appoint a new MD on two grounds: either when the incumbent completes the tenure of three years, or if the Federal Government removes the incumbent from office; however, removal is a penalty as a result of disciplinary action.

The Minister remarked that the Government is not removing the current MD, rather the current MD will be welcomed to apply for the advertised position, and would most likely be one of the most suitable candidates for the position. However, in the context of the emerging situation, where Government is considering a comprehensive electricity policy/plan and the legislation for merger of the two organizations is also underway, the new structure of the organization would be significantly changed. In this regard, the Government wants to initiate the selection process and the permission of the Board is being sought for advertising the position of the MD. However, the current MD will continue to serve the organization till the selection is completed.

The Member, representing GoAJK, endorsed the viewpoint of MD PPDB and suggested that the Board should take action in accordance with the relevant provisions of the PPIB Act, so that the possibilities of any litigation are avoided.

Secretary Power Division inquired whether any Notice Period would be required under the terms of the employment of the current MD. It was clarified that no such notice period is available for the position. Director Legal pointed out that his expertise does not encompass the HR employment issues. The chair remarked that if required a firm legal position would be obtained in the matter by the Ministry which can then be further deliberated.

After detailed discussed the Board advised that the matter for re-advertisement of the position of Managing Director PPIB, in the context of merger of AEDB with PPIB, would be discussed during the next meeting as an agenda item keeping in view the proposed merger of AEDB with PPIB.