Power tariff hike notification withdrawn, AG tells SC


ISLAMABAD: Attorney General Munir A. Malik on Friday informed the Supreme Court in writing the federal government’s decision to withdraw a notification that had led to an increase in power tariff, DawnNews reported. Earlier on September 30, the government had announced 40-210 per cent increase in tariff for domestic electricity consumers across the country. During today’s hearing of the case pertaining to a suo motu notice after rampant load-shedding in the country, Chief Justice Iftikhar Muhammad Chaudhry told the attorney general that the court was not fighting a legal battle against the government, adding that it wanted to be enlightened regarding notifications and authorities exercised. Attorney General Malik informed the court that the federal government had set a lower electricity tariff as opposed to the rates proposed by National Electric Power Regulatory Authority (Nepra).
Moreover, Minister of Water and Power Khawaja Asif also said that the government had been asking Nepra to issue a notification as per the rules of procedure. The chief justice said the minister had informed the court during a hearing of the Rental Power Projects (RPPs) case that the federal government could not influence the decisions of Nepra and questioned the legal standing of the recent notification over the rise in power tariff as it had not been approved by the main power regulatory body. During the course of proceedings, Chief Justice Iftikhar asked if the government would finally withdraw the September 30 notification, upon which Nepra’s chairman Khawaja Naeem said the government had already determined the power tariff and that should be allowed to continue. He said power distribution companies had already sent electricity bills to consumers in accordance with the September 30 notification, upon which the chief justice said that those should be withdrawn. The power regulatory body’s chairman added that if the notification was withdrawn prior to November, then all the consumers would have to be sent separate electricity bills. Another member on the bench, Justice Jawwad S. Khawaja, remarked that the government had not formed a policy to recover money from defaulters who collectively owed an outstanding amount of Rs441 billion. He said paying consumers were being billed extra because of defaulters, adding that it violated the Constitution and exploited the fundamental rights of the citizens. Attorney General Malik informed the court that the notification which was brought in effect was not new and that the formula had been operational since 1998. Responding to which, the chief justice said it was the government’s fault and that it would have to withdraw the September 30 notification, upon which the AG said the new rates would depend on Nepra. Moreover, Khawaja Asif also informed the court that the government would give consumers a subsidy of Rs150 billion. Chief Justice Iftikhar said citizens should be provided with cheap electricity and that no unnecessary facilities should be provided to anyone. The minister said once the government would submit an application to Nepra, the September 30 notification would stand dissolved. The hearing of the case was subsequently adjourned for two weeks.

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