A National Assembly (NA) committee on Tuesday questioned the role of Moonis Alvi as the chief executive officer (CEO) of K-Electric’s (KE), observing that he “seemed unfit for this important position”, according to a statement from the NA Secretariat.
The development came as the NA Standing Committee on Industries and Production, led by Syed Hafeezuddin, met to discuss “issues of K-Electric regarding load-shedding in industrial sectors of Karachi”.
“The committee expressed its displeasure over the informal, unofficial and
non-professional attitude of CEO, K-Electric and observed that the officer seemed unfit for this important position,” the statement, released by the NA Secretariat after the meeting, read.
NA panel directs KE to stop unannounced load-shedding
The committee chairman expressed his displeasure over the absence of the National Electric Power Regulatory Authority (NEPRA) representatives and inquired why they had not attended the meeting. In response, the KE CEO commented that the NEPRA officials might have gone to a cabinet meeting, Aaj News reported.
The meeting further deteriorated when a heated exchange broke out between the KE CEO and committee member Syed Raza Ali Gillani. Gillani later demanded action against Alvi and declared, “As long as this man is part of the committee, I will not sit here”.
Another committee member Abdul Hakeem Baloch suggested the committee to consider using its privilege motion powers. “A decision must first be made about his [Alvi’s] conduct,” according to Aaj News.
In response to a question from Business Recorder on today’s NA meeting, KE spokesperson said, “K-Electric, as a private entity, holds complete respect for the Parliament and its esteemed members. What transpired today was unfortunate. Such moments are a cause for pause and reflection for everyone working towards a better Pakistan.”
During the meeting, Ittehad Cottage Feeder also came under the discussion.
“The Ittehad Cottage Feeder was made operational on January 30, 2014. This feeder is located among high-loss areas.” Moonis Alvi said during the meeting.
“This feeder was installed to support the cottage industry on a cost-sharing basis – 50% by K-Electric and 50% by the consumers.
“There is no other agreement on the Ittehad Cottage Feeder,” he maintained, according to a KE statement on the meeting.
“Initially, there was only one industrial feeder in Ittehad Town. Due to increased electricity demand, three more feeders were installed to ensure uninterrupted power supply.
“Various proposals were presented to ensure uninterrupted power supply and to reduce line losses,” KE official claimed.
Syed Hafeezuddin said the committee’s recommendations were not being given importance, announcing that the panel would go to every extent to ensure the implementation of its recommendations.
“We are here as representatives of the people and the Assembly,” he said.
Meanwhile, the KE CEO further informed the committee that K-Electric’s investors made an investment of $850 million from 2005 to 2008.
“The matter of profit rate in local or foreign currency is between the investors and the Government of Pakistan,” he said.
“The case for government subsidy to Karachi’s industries during Covid is under consideration in court.”
“We will abide by the court’s final decision,” Alvi maintained.
Earlier during the day, the power utility informed through a notice to the Pakistan Stock Exchange (PSX) that the NEPRA had approved its new Multi-Year Tariff (MYT) for the supply segment also for FY2024 to FY2030 (MYT Period).
The development came days after the NEPRA approved KE new Multi-Year Tariff (MYT) for transmission and distribution (T&D) network segments for FY2024 to FY2030.
