Re: Rental Power Projects
Jiay Jamhooriyat........Jiay Bhuttoo!!!!!!!
Democracy is the BEST REVENGE!!
jey buutoooo
tum kitnuy bootooo maro gy her gar sy bootoo nikly ga
yeh humari jaan naheeh choreen gy khabi...
mqm sy bara ezzab dal lia hum logon ny galy meen
Re: Rental Power Projects
Govt showed negligence in RPPs deals: SC
**Supreme Court said that government did not properly examine the contracts of Rental Power Projects.
Chief Justice of Pakistan Iftikhar Muhammad Chaudhry remarked that a renter thoroughly examines the deed before taking a house on rent but the government did not take pain while having a deal regarding power projects.**He remarked this while hearing a case pertaining to rental power projects. “It seemed that government did not form any policy in this regard,” he said. “If the government had no money for fuel of IPPs the how it would provide fuel to rental power projects”, the court asked.
Justice Khilji Arif Hussain said that the government was bound to provide oil and gas to the rental powers in accordance with agreement. When oil and gas has not been provided to the rental powers; how they can be imposed with fine, justice commented.
The counsel for WAPDA said that he would reply the questions raised by the court after Eidul Azha. The court was adjourned till November 14.
Re: Rental Power Projects
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Poor peoples money spent on rental power project: CJ
Updated at: 1312 PST, Tuesday, November 15, 2011
**ISLAMABAD: Chief Justice Iftikhar Muhammad Chaudhry Tuesday, while hearing the rental power case, in his remarks said that the amount spent on the project belonged to the poor men, who do not get two-times meal.
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Supreme Court bench headed by the Chief Justice Iftikhar Muhammad Chaudhry was hearing the rental power case here today.
Ministry of water and power’s attorney, Tariq Rahim arguing the case said that the ministry of finance had given the approval of the rental power projects. The ministry assured the payment of the fund in May 2008, but it backed out in December. He said that in a bid to save the paid amount to the rental power and investment, the advance was increased from 7 to 14 percent.
On this occasion, member of the apex court bench, Justice Khilji Arif in his remarks termed the rental power affairs a criminal negligence instead of negligence.
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Re: Rental Power Projects
Rental power plants: Govt to pay Rs2 billion in rent for ailing plant
**ISLAMABAD: ****Karkey Karadeniz Electric has failed to generate the power its capacity allows, but the government sees no reason to investigate the matter before using taxpayers’ money, in this case a whopping Rs2.2 billion, to pay rent for the Turkish power plant.
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**The startling revelation was disclosed during a meeting of the Economic Coordination Committee (ECC) on January 20. According to sources, the Central Power Purchase Agency (CPPA) is to pay Rs2.2 billion rent to two rental power plants – Karkey Karadeniz Electric (Karachi) and Gulf Rental (Gujranwala).
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Documents presented before the ECC revealed that Rs2.2 billion is to be paid as rent for the two power plants in Karachi and Gujranwala. Rs264 million will be received by Gulf Rental while Karkey is to receive an outstanding Rs2 billion.
**Under a signed agreement, Karkey was to produce 436 megawatts of electricity but the plant’s average production has been estimated at 50MW. At present, it is generating 100MW per day. Earlier, Nepra had also observed that no significant power from Karkey had been made available to the national grid.
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According to sources in Karkey, the company had been suffering at the hands of the Lakhra Power Generation Company Limited (LPGCL), which had disrupted the flow of fuel supply to the company. Karkey cited the halt on fuel supply as the major reason for the low electricity production.
“The total load of Karachi is 2,000MW and Karkey can contribute a lot if fuel is provided to operate at full capacity,” the source said, adding that the rental charge costs Rs4.35 per unit.
Karkey plant became operational on April 16, 2011, nearly a year after its scheduled date of coming on stream on May 2010.
**“It can generate electricity costing Rs17 to Rs18 per unit but now electricity being produced by Karkey is costing Rs 53 per unit due to lower production,” an official of the ministry of water and power said. The official went on to add that the rent had piled up to Rs2 billion due to the low power generation by Karkey.
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“It should have generated 45 million units of electricity so far but it has only generated 40 million units,” the official said.
**Contract irregularities
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According to a notice served to the LPGCL, a copy of which is available with The Express Tribune, the National Electric Power Regulatory Authority (Nepra) had pointed out several irregularities meted out in signing the concerned rental contracts.
The LPGCL had signed the contract with Karkey on December 6, 2008 which was subsequently amended on April 23, 2009, without seeking a formal approval from Nepra. When the plant failed to meet its deadline to become operational, instead of invoking penalty clauses and a termination of the contract, the LPGCL allowed subsequent amendments and also failed to recover advance payments.
Nepra noted that the LPGCL had also intentionally entered into the fuel supply agreement with Karkey knowing beforehand that it would not be able to arrange the fuel needed to keep the plant operational.
“The result is that Karkey rental plant is not being operated on full load whereas the LPGCL is to pay the rental charges for full capacity which constitutes failure to protect the company’s and consumer’s interests,” Nepra observed.
The LPGCL had signed the fuel supply agreement following the federal government’s revamped policy relating to rental power plants (RPPs).
“Nepra should have raised these questions on November 11, 2008 when it had approved tariff of Karkey plant,” an official of the water and power ministry added.
*Published in The Express Tribune, January 29[SUP]th[/SUP], 2012.*