The Pakistan Electric Power Company informed the federal cabinet last week in Quetta that the company suffered a loss of PKR 386 million due to sabotage activities Balochistan.
The PEPCO authorities in a presentation to the federal cabinet that met last week in Quetta with Mr Yousuf Gillani PM of Pakistan in chair further disclosed that a total of 211 number of incidents both on 132 kV and 220 KV towers were reported since March 2003 to May 2011.
The incidents of sabotage occurred in the districts of Quetta, Sibi, Bolan, Mastung, Musa Khel, Naserabad, Barkhan, Noshki, Kalat, Kharan, Khuzdar and Harnai.
The PEPCO authorities said that decline in revenues of QESCO was due to drop in the collection of bills by the company. Another major factor in the revenue shortfall was the withdrawal of federal subsidy on electricity for the agricultural sector of the province. About 71% of the total billing has reduced remarkably from agricultural sector due to withdrawal of the subsidy on electricity for running the tube wells. Poor law and order situation in entire province was also to blame for decline in the collections of bills.
The presentation said that QESCO employees avoid implementing the disconnection orders for the power bill defaulters after incidences of manhandling. The kidnapping of QESCO’s chief engineer in June has created a sense of insecurity among the employees. The presentation further highlighted that bulk disconnection by switching off the 11 KV feeders created resentment among consumers leading to strikes and public agitation and putting an adverse impact on recoveries as well.
PEPCO said that the non-payment culture of electricity bills in this particular area of the country has also aggravated the power outages by 4 to 6 hours in Quetta, 8 hours in district headquarters and 12 to 14 hours in rural areas of the province.
The presentation said that as of June 2011, the QESCO had total receivables of PKR 36.237 billion from federal, provincial, district and other private entities. Almost PKR 21.8 billion were due from agricultural consumers, PKR 6.094 billion were outstanding as agricultural subsidy that the federal and provincial governments have to pay QESCO and PKR 4.66 billion were due against various departments of the provincial government.
At the end of June 2010, QESCO receivables stood at PKR 17.79 billion with PKR 10.044 billion agricultural subsidy due from federal and provincial governments, PKR 2.41 billion of provincial departments, PKR 2.60 billion of private consumers and bad debts of PKR 3.84 billion of agricultural and other consumers.
The income statement of the QESCO for 2010 to 2011 reveals that it had a gross profit of PKR 6.67 billion with total revenue of PKR 44.915 billion and cost of electricity of PKR 38.23 billion. However, the company was in net loss of PKR 1.286 billion after deducting PKR 2.60 billion of O&M, PKR 661 million of depreciation, PKR 657 million of provision for bad debts, PKR 3.88 billion for the provision of 30% agricultural subsidy and PKR 162 million under the head of financial charges for the past fiscal year of 2010 to 2011.
(Sourced from www.thenews.com.pk)
