Provincial right over power produced

[yazdi]

Re: Provincial right over power produced

@Silaaj

Punjab can quite easily generate power using its bigger water resources. Based on the PPP govt’s formula, the state with the resources gets to use it first, and whatever remains, will be distributed onwards. So Punjab can do that, but of course, PPP will incite sindh against that, using the water card.

You are not getting the point I am trying to make. Strength of Punjab is not oil, gas or coal. Punjab’s strength is industry and agriculture which needs energy. You can not have policies:

1. when you have to collect taxes for federal government you want to keep the rights with federal government and squeeze provinces with levies and taxes.

2. When it comes to distribution of energy you want the provinces to take care of themselves.. arrange their own energy after paying hefty tax to the federal government.

Diesel is a major input cost of Punjab agriculture which is subjected to heavy taxation. Similarly Punjab needs uninterrupted power from national grid to run it’s industrial sector which is subject to indiscriminate load shedding of 12 hours compared to other provinces.

Punjab is viable in both the scenarios. We can generate thermal energy and afford the same provided the input fuel can be provided without any federal tax.. or federal government collects the taxes and take care of Punjab’s legitimate requirements indiscriminately. If Punjab can import POL products without federal taxes we can take care of our energy requirements and afford electricity even if it is a little higher in price through thermal generation. There are enough power generation plants in Punjab.

This can not continue that Punjab keeps on paying heavy taxes on POL products (around 400 billion per annum) and is totally deprived of the energy needs. Either energy should be entirely a provincial subject or it should be entirely a federal subject. Just for revenue collection it can not be federal subject. and for supplying the legitimate requirements you tell the provinces to go to hell.. specially in case of Punjab..