ISLAMABAD: The All Pakistan Processing Mills Association (APPMA) has strongly opposed the approval of K-Electric’s (KE) Rs 68 billion write-off claims, deeming them unjustifiable.
In a letter to the National Electric Power Regulatory Authority (Nepra), APPMA Chairman Anwer Aziz urged the rejection of KE’s petition, which is scheduled for consideration on November 28, 2024. Aziz argued that Karachi consumers, who already face the highest electricity costs in Pakistan, cannot bear additional financial burdens.
Aziz highlighted that KE has yet to deliver the Rs 33 billion Covid subsidy promised to Karachi consumers, adding that addressing this issue should take precedence. He stated that until the Covid subsidy is resolved, any further claims by KE must be denied.
“It is alarming that KE has been unable to provide ID card details for consumers linked to the write-off claims. This is a clear violation of Nepra’s Consumer Service Manual and raises critical questions about whether these subsidies were issued to unidentified or non-existent entities,” Aziz wrote.
The APPMA demanded the outright rejection of KE’s write-off claims, calling for greater accountability and transparency. “Nepra must ensure consumers are not burdened with additional costs through tariffs or government subsidies. Not a penny should be passed onto consumer bills,” Aziz emphasized.
The Association also called for the pending Covid subsidy of Rs 33 billion to be deducted from KE’s claims and credited directly to Karachi’s industrial and commercial consumers. It urged Nepra to hold KE accountable for operational inefficiencies and require the utility to improve its recovery mechanisms instead of shifting financial strain onto consumers.
Aziz reiterated that Karachi’s residents and industries cannot endure further financial pressure, urging Nepra to prevent these claims from being translated into surcharges or tariff adjustments. He warned that approving KE’s request would deepen financial hardship and further undermine public trust in the utility.