Nandipur produces power at cost of Rs 7.25 per unit

A parliamentary panel on Thursday was informed that Nandipur Power Project has produced electricity at a cost of Rs 7.25 per unit.

Secretary Water and Power Younus Dagha admitted before the Public Accounts Committee (PAC) that the dual fuel Nandipur Power Plant is producing electricity at a higher cost; however, the cost would be reduced when it would run on gas.

Secretary said that Nandipur Power Plant is not efficient on oil but it would give better efficiency on gas. “The plant is giving a variable electricity production cost but last month the production cost of electricity was Rs 7.25 per unit,” he added. He further revealed that it was generating 250 MW but it also produced 425 MW on full capacity on oil.

To make the power plant more efficient, he said, a gas pipeline was being laid. He further said the power plant would run on LNG in future.

“It is expected that international prices of LNG will sustain and further reduce for a longer period as dependence of developed countries on shale gas in increasing,” he added.

Member Committee Shafqat Mahmood pointed out that power distributing companies were parking their power pilferages in billing, which was unjust.

The Secretary admitted that the power companies were adding power pilferage to the consumer billing but the new system ‘mobile meter reading’ of billing introduced across the country had minimise the incidence of pilferage.

Responding to a question, the secretary said that consumers of LESCO were asking for an amnesty scheme but the ministry declined their request.

Chairman Committee Syed Khurshid Shah claimed the receivables of water and power reached by Rs 365 billion which included power pilferages.

This receivables should not be added to the billing of those consumers who were paying their bills regularly. Audit officials pointed out in audit report of 2013-14 Rs 278 billion worth receivable of WAPDA against DISCOs and asked for recovery.

The committee also examined the audit report of Ministry of National Health Services, Regulations and Coordination for year 2013-14.

The committee directed its secretariat to write a letter to Ministry of Interior with a directive that appropriate action must be taken against an official of FIA who closed a case of National Council for Homoeopathy (NCH).

According to details, the NCH purchased for an office building plot of 27 marlas for Rs 56 million in September 2010 at Airport Link Road Rawalpindi.

Audit alleged that market price of the purchased building was estimated Rs 20 million, whereas the building had been purchased for Rs 56 million, resulting in a loss of Rs 36 million.

Audit is of the view that the former president of NCH purchased the building in Rawalpindi in violation of the directions of Director General Health. Administration of NCH referred the case to FIA for recovery but it is still pending.

In another case of irregular release of penalty amount of Rs 34.7 million deducted on account of late supply of vaccines, Secretary Ministry of National Health Services, Regulations and Coordination assured the committee that the inquiry would be completed within 15 days. -Business Recorder