Rental Power Projects

Maybe this project is the biggest rip off in Pakistan’s recent history, it would be interesting to see the result of the case! It is being termed as mother of all corruption.

Its interesting to see that Pakistan is not able to pay for the fuel for the IPP’s but they had billions to pay for the RPP’s which are not even working on full capacity…

**SC asks for details on rental power projects
**By Qaiser Zulfiqar
Published: October 27, 2011

ISLAMABAD: **The Supreme Court (SC) on Thursday has asked the government for a detailed brief on rental power projects (RPPs).

A divisional bench headed by Chief Justice Iftikhar Muhammad Chaudhry was hearing two identical petitions filed by federal minister Faisal Salah Hayat and PML-N MNA Khawaja Asif.

During the course of hearing, Hayat informed the court that independent power producers (IPPs) could have produced 6,000 megawatts (MW) electricity had the government fully exploited their potential. The minister termed the Asian Development Bank (ADB) report on rental power projects (RPPs) a charge sheet against the minister for water and power and held the government responsible for criminal negligence. He pointed out that in May 2008 the Pakistan Electric Power Company Limited had a capacity of 19,500MW and an additional 1,700MW were to be added by three IPPs who were awarded licences.

Chief Justice Iftikhar Muhammad Chaudhry said court proceedings were initiated to safeguard the national interest. He enquired why no action was taken against corruption in RPPs. “Had a debate been initiated in parliament, the federal minister might not have had to approach the court.”** Hayat informed the bench that over a dozen adjournment motions were turned down by the National Assembly speaker. He said he would table the matter before parliament in the next session. He accepted that parliamentarians had failed to resolve people’s problems. Further hearing was adjourned till Friday (today).

On Wednesday, the court had constituted a one-man commission headed by a retired SC judge, Justice Rehmat Hussian Jaffery to investigate delays in the commissioning of the government-owned Nandipur and Chichokimalian power projects for which Asif had separately petitioned the court. Asif had contended that civil work on the Nandipur project was complete, but its machinery was rusting at the Karachi port because the ministry of law had not cleared sovereign guarantees. The project was supposed to generate 425MWs from April. The Chichokimalian power project was to produce 525MWs. The contract was awarded to a Chinese firm but the law ministry did not release sovereign guarantees and the project was demobilised after installment.** Now the firm is willing to resume the project but on revised rates. Asif had said 975MWs could have been added to the national grid and the electricity produced from these two power projects would have been cheaper than both RPPs and IPPs.**

(Read: SC’s campaign against corruption)

Published in The Express Tribune, October 28th, 2011.

Re: Rental Power Projects

Jiay Jamhooriyat........Jiay Bhuttoo!!!!!!!

Democracy is the BEST REVENGE!!

Re: Rental Power Projects

'jiala' jamhooriat is the best revenge against people of Pakistan's hard earned money...

Enjoy the recent increase in electricity bills (over Rs 4/unit), but still they cant provide electricity to the people...

Re: Rental Power Projects

^woh sab Zia-ul-Haq/Musharraf/N-League ka kasoor tha :hehe:

Re: Rental Power Projects

^ no you are wrong :)...

"Ah Takht e Lahore" and agencies of course!!!

Re: Rental Power Projects

As far as load shedding is concerned Punjab is bearing the brunt of it 8-18 hours of load shedding during the year, where as bill recovery from the Punjabi distribution companies is the maximum (over 80%)...the recovery from Karachi is around 30 %, whereas it is negligible from KP and Balochistan! Punjab pays the bills and then suffers from the worst loadshedding...

As far as gas loadshedding is concerned, similar thing Punjab's CNG stations are closing for three days a week (no loadshedding for KP, Sindh and Balochistan)...and the impact of gas and power loadshedding in Faisalabad is also infront of every one...

but the end result is... "Ah takht e Lahore"

Re: Rental Power Projects

If they make it simple........ give bijli to those who pay bills.......and loadshedding to those who don't pay bills..... sab khudi set ho jaye ga :D

Re: Rental Power Projects

if the bijli is made proportional to billing that would then mean no bijli to Sindh, Balochistan and KP...

They should try to improve the recovery from other provinces as well...and when loadshedding is required that should be distributed equally as well...and not deprive one province unfairly (being the bigger brother)!

Re: Rental Power Projects

Just about Rs 4 per unit is real cheap! I pay INR 10.16 per unit in Mumbai plus 15% Government Electricity Duty and a tax of 15 paise per unit to the Maharashtra Government. In total I pay about Rs 5000 per month for usage of about 600 units of power. Reliance Energy is in all probability ripping us off.

The only silver lining here is that its quality, fluctuation free power 24 hours a day!

Re: Rental Power Projects

4 Rs has been increased during the past month, I am not sure what the cost per unit is now these days...i feel the electricity we are getting (by we I mean who are paying because for most of Pakistan it is free) is the most expensive in the world because of enormous line losses

Re: Rental Power Projects


i think Br. Syed said **RS. 4/unit is the amount of increase**** in recent months...NOT, the cost/unit.**

Re: Rental Power Projects

Ah, ha....noted thank you.

Re: Rental Power Projects

Ah takht e Lahore!!!

Punjab to face further shortage of gas: minister Last Updated On 29 October,2011

Talking to the traders in Karachi, Federal Minister Petroleum Dr asim Hussain said that according to 18th amendment, the province which generates sources have its right first, while the Punjab produces only 8 percent of gas. He maintained that he would not make tall claims to end gas crisis.

He stated that a meeting of all gas stakeholders would be held on Wednesday to discuss gas issues. He stressed to bring some reforms in 18th amendments.

Re: Rental Power Projects

I think they should end all supplies of electricity and gas to Punjab since Punjab does not produce much of these two commodities. By doing so at least the other three provinces can have uninterrupted gas/electricity!

Re: Rental Power Projects

This was expected from the get go... as soon as it was announced people with little bit of intellect knew that it was not "Rental Power Project" but actually "Corruption Power Project".

Re: Rental Power Projects

I think what the minister said is common sense, since what punjab grows like wheat is first used to feed punjab and then is sent outside the province.

Re: Rental Power Projects

Another good day for pakistanis, the electricity tarrif has been increased further by 1.77 rupees/unit (all the pakistanis who pay utility bills enjoy)

Re: Rental Power Projects

According to chief justice of pakistan the electricity being generated through the rpp's is the most expensive in the world. Advance money was paid to them and now the government isn't providing them with fuel to operate the units. It was common sense the people of this forum have discussed about this issue a number of times that pakistan does not have enough money to pay the ipp's then why were billions wasted on the rpp's and I know in this case too like the rest there will be no justice. The government is selling it's people infront of IMF and world bank and then wasting the amount on failed projects/kickbacks. I can safely say that inspite of 12 hours loadshedding Pakistani consumers are paying much more than the people of first world countries like Australia.

Re: Rental Power Projects

Phir bhi Bhutto zinda hay :hbk:

:omg: :rotfl:

Re: Rental Power Projects

^ Bhutto Zinda hay, aur awaam mar gay hain loadshedding, mehangayi aur bayrozgaari say