Electricity Shortage In Karachi May Reduce Due The Settlement Of KE & SSGC Dispute Under PM DirectivesElectricity Shortage In Karachi May Reduce Due The Settlement Of KE & SSGC Dispute Under PM Directives

Electricity Shortage In Karachi May Reduce Due The Settlement Of KE & SSGC Dispute Under PM Directives

Electricity Shortage In Karachi May Reduce Due The Settlement Of KE & SSGC Dispute Under PM Directives: Prime Minister Shahid Khaqan Abbasi has given a statement that the dispute between K-Electric (KE) and Sui Southern Gas Company (SSGC) has been resolved. Prime minister gave directive to SSGC has to ensure required gas supply for power generation (KE).

Under Prime Minister Directives

  • SSGC will provide 190 MMCFD gas to K-Electric for power generation
  • Adviser on Finance Miftah Ismail is being assigned to determine within 15 days the details of outstanding dues.
  • Areas where power theft is extensive, electricity supply is cannot be guaranteed
  • Electricity load-shedding in Karachi will end completely if 100% of the bills are paid
  • PM stated that KE was operating according to National Electric Power Regulatory Authority (Nepra) tariffs and cannot charge more or less than the approved tariff.
Electricity Shortage In Karachi May Reduce Due The Settlement Of KE & SSGC Dispute Under PM Directives
Electricity Shortage In Karachi May Reduce Due The Settlement Of KE & SSGC Dispute Under PM Directives

KE Issued A Statement Earlier

  • that all its furnace oil plants are working to full capacity, suggesting that additional load-shedding being faced by the city is due to reduced gas supply.
  • KE reported KSWB was required to clear Rs52 billion dues while SSGC said Rs 80 billion dues were outstanding against KE, excluding Rs7bn security deposit required for increasing gas supply from contractual 10mmcfd (million cubic feet per day) to 190mmcfd.
  • K-Electric, the power distribution company in Karachi claimed that 500MW power shortfall is being experienced due to inadequate gas supply.

Sui Southern Gas Company on the other hand stated that the supply to the power distribution company has not been increased or decreased.

Electricity Shortage In Karachi May Reduce Due The Settlement Of KE & SSGC Dispute Under PM Directives
Electricity Shortage In Karachi May Reduce Due The Settlement Of KE & SSGC Dispute Under PM Directives

But now the matter is solved when prime Minster chaired a special meeting of the Cabinet Committee on Energy (CCoE) that was called to resolve the dispute between the SSGC and KE. It was decided that the gas company would begin supplying 130 mmcfd of gas to K-Electric on Monday. The power utility company was earlier being supplied with 90 mmcfd gas. Apart from this, SSGC will also supply 60 mmcfd of LNG to K-Electric.

Abbasi said the country had electricity production in excess than its demand but it cannot afford to bear the load of those who do not pay their bills and, therefore, electricity shortage and  load-shedding will continue in areas hit by electricity theft.

Now there is a hope that soon Karachi that was facing load-shedding of more than 12 hours daily on the name of technical faults will have electricity as well as water that is supplied using electricity.

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