Nepra imposes Rs26m fine on HESCO


ISLAMABAD: National Electric Power Regulatory Authority (Nepra) has imposed a fine of Rs 26 million on Hyderabad Electric Supply Company (Hesco) on account of transformer blast at Latifabad, Hyderabad in which ten people had died and around 12 others injured.

The Regulator upon receipt of reports of incident constituted a three-member Investigation Committee (IC) under Section 27A of NEPRA Act 1997, which investigated the matter in detail by visiting the site of incident, recording statements of the residents, inquiring about the concerned officials/officers of Hesco, conducting analysis of the damaged transformer, visiting manufacturer of the blasted transformer and presented a detailed report to the Authority.

The report revealed a total of 10 fatalities which included 1 Hesco employee and 9 from the general public, besides 12 injured.

In the light of evidence, the Authority issued a Show Cause notice to Hesco under Section 27B of the NEPRA Act, 1997 and later provided an opportunity of hearing to Hesco.

Based on the evidence available on record, submissions of Hesco and relevant provisions of the laws, rules and regulations, the Authority concluded that the power distribution company failed to discharge its statutory obligations to maintain safety standards as laid down in the relevant laws, code and manual.

The Authority; therefore, imposed a fine of Rs. 26 million on the Discos. The Authority also noted that Hesco has given compensation of Rs. 3.5 million to the family of its employee who lost his life in the said incident; however, compensation of Rs. 7.5 lac was given to the families of 9 deceased from the general public.

The Authority directed Hesco to compensate the families of the deceased from the general public equal to the amount given to its deceased employee’s family and documentary evidence of the same be shared with the Authority.