K-Electric becomes profitable company: Privatization Commission
Pakistan
Before privatization K-Electric faced losses
ISLAMABAD (Web Desk) – Officials of the Privatization Commission say that K-Electric has become a profitable company.
It was revealed in a meeting of the Senate Standing Committee on Power which was chaired by Senator Saifullah Abru, in which a briefing was given on the affairs of K-Electric by the Privatization Commission.
Privatization Commission officials said that K-Electric has become a profitable company which was privatized for Rs15 billion, on which Chairman Committee Saifullah Abru said that the assets of K-Electric were very high.
Privatization Commission officials said that K-Electric was privatized with losses and 4 companies participated in the bidding.
The chairman committee said that there is a buzz on social media that K-Electric spent 478 billion rupees. He said that they were not told where the K-Electric spent 478 billion. The K-Electric did neither give the details to the committee nor did it return the revolving loan to the government.
The Senate Standing Committee, while asking for the details of K-Electric's investment of 478 billion rupees, directed the company to end the campaign of spending 478 billion rupees on social media.
Officials of the Power Division said government committee is working on Terms of Reference (TOR) for renegotiation with K-Electric and this contract with K-Electric is in final stages.
Chairman Committee Abru further said that the price of electricity has increased by 50% during one year, while the officials of the Power Division said that capacity charges of Rs10 per unit are imposed on consumers. The average tariff per unit became about Rs 30 in March 2023.
Chairman Committee Saifullah Abru said that the capacity charges should be frozen. The electricity bills have gone beyond the reach of the people. The IPPs should be stopped from collecting capacity charges.
