Caretaker govt approves transfer of power distribution companies to provinces
Business
Caretaker govt approves transfer of power distribution companies to provinces
ISLAMABAD (Dunya News) – The caretaker prime minister on Monday approved a summary transferring the power distribution companies’ ownership to the provinces.
The caretaker federal government decided to end the current system of sale, distribution and tariff of electricity.
According to the decision, uniform electricity tariff would be abolished across the country while the responsibility of determination of electricity rates and extension of subsidies would be transferred to the provinces.
The federal government decided to give Hyderabad and Sukkur Electric Supply Company under the ownership of Sindh while Quetta Electric Company will be given under the ownership of Balochistan.
It has been decided to give ownership of Lahore, Gujranwala, Faisalabad and Multan Electric Supply to Punjab, Islamabad Electric Supply Company will be jointly owned by Punjab and the Centre, while Peshawar and Tribal Area Electric Supply Company will be owned by KP.
According to the summary, a policy framework has been prepared to hand over the distribution companies to the provinces, due to power theft and non-receipts as the national exchequer has not been able to bear the burden.
