"Ministries of Finance, Water and Power and Petroleum tried to blame each other for the current energy crisis that conveyed a wrong message to the Prime Minister," said an official sitting in the meeting. Raja Pervez Ashraf directed the ministries concerned to resolve this issue with co-ordinated efforts. The Ministry of Finance is of the view that energy crisis cannot be resolved through provision of funds alone but the Ministry of Water and Power should also play its part in reducting line losses and improving recovery.
Prime Minister said that he had great hopes from the Secretaries' Committee formed by the government to give recommendations to improve the power situation in the country. The Secretaries' Committee comprises Federal Secretaries Finance, Petroleum and Water and Power. Prime Minister said that the Committee should ensure uninterrupted supply of fuel for optimal generation from power plants and also come up with doable suggestions to improve the entire energy chain from generation to distribution.
The Prime Minister said that the government had been giving subsidy of Rs 250 billion annually despite financial constraints, to reduce the burden on consumers. This subsidy works out on average to Rs 3.5 per unit. Unfortunately, this relief has not attracted the appreciation from the public, the Prime Minister observed.
He directed Nepra to work out an upfront tariff for investors interested in alternate energy projects like wind and solar energy. This would help investors in making decision to invest in this sector without going through complex procedures for seeking tariff in each case. The Prime Minister said that there should be zero tolerance for those who do not pay their electricity bills. He directed the Ministry of Water and Power to redouble their efforts to recover the outstanding dues so that the financial health of the sector can be improved.
"Consumers making full payments should not suffer for defaulters," said the Prime Minister. Prime Minister said that after the NFC Award the provincial governments have a better fiscal space. He appreciated a proposal that the provinces should pool their finances and invest for the construction of hydel power projects.
Earlier, the Chairman Wapda, Shakil Durrani briefed the Prime Minister on various hydel power projects including Allai Khwar-Battagram, Jinnah Hydropower (Mianwali), Gomal Zam dam (South Waziristan Agency), Satpara dam (Skardu), Duber Khwar (Kohistan), Jabban hydropower (Malakand) and Laraib hydro power project, with a cumulative production capacity of 487-megawatt, would be inducted into the national grid by March next year.
The Prime Minister was also told that Tarbela Dam was likely to be filled soon while Mangla Dam had been filled to a level of 1,180 feet against a level of 1,230 feet. Prime Minister was also briefed about the progress made so far in the construction of Diamir Bhasha dam and efforts being made to garner finances for the project.
Chairman Wapda thanked the Prime Minister for his personal interest in the release of Rs 6 billion, saying that this would ensure the completion the Rainee and Katchi Canal projects by the end of this year. The Prime Minister said that he would like to visit the project soon.
The meeting was attended, among others, by Minister for Water and Power Ahmad Mukhtar, Finance Minister Dr Abdul Hafeez Sheikh, Adviser to the PM on Petroleum and Natural Resources Dr Asim Hussain, Minister of State for Water and Power Tasneem Ahmad Qureshi, Chairman Wapda Shakil Durrani, Chairman Nepra Ghiasuddin, MD NTDC Naveed Ismail, MD PPIB NA Zuberi and Chairman Irsa Zafar Ali.