KESC Blog


‘KESC to recover Rs 39bn dues from consumers’

Posted in Claims & Blames by kescblog on August 11, 2009
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The Karachi Electric Supply Company’s (KESC) total outstanding dues towards its consumers has exceeded Rs 39 billion and it intends to recover this amount, said Jan Abbas Zaidi, the power utility’s chief operating officer (distribution), at a media briefing here on Monday. He was accompanied by KESC Corporate Communications Director Ayesha Eirabie.

He said that Rs 17.5 billion were outstanding towards domestic and commercial consumers, while the remaining amount was owed by official and semi-official organisations.

Zaidi further stated that temporary shutdowns were been carried out on Monday in Federal B Area, Liaquatabad, Nazimabad, Sarjani, North Karachi and Orangi grid stations to convert the circuits to the high-tech computerised monitoring system called SCADA, which would facilitate the online monitoring of the authorised and actual load inflows to each feeder and PMT. The electricity supply to these grids was restored by evening, he added. ppi

Cabinet body takes ‘lenient view’ of KESC failures

Posted in Claims & Blames,What to do? by kescblog on August 11, 2009
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The KESC termed the meeting of its owners with the special cabinet committee on the energy crisis “positive”, as the government committee apparently took a lenient view of the utility’s failure to maintain system functionality during the recent monsoon rains, and extended the time frame given to the company to revamp its infrastructure.

Reassurances were also given to the company’s representatives on financial issues.

Responding to questions in this regard during a press briefing, Chief Operating Officer (Distribution) of the KESC Jan Abbas Zaidi confirmed that the financial matters of the KESC figured high on the agenda of the cabinet committee’s meeting with the owners and other top brass of the utility in Islamabad.

The government has now agreed to extend the time frame for the first phase of crash revamping plans to September 15.

Owners of the privatised utility were invited to Islamabad on August 5 to deliberate and resolve all issues, including those of circular debt and investment in improving the generation, transmission and distribution systems of the utility. The government had called the meeting because it felt that an improvement in the power sector was essential for the viability of growth in industries, exports and employment.

When his attention was drawn to the concern expressed by the cabinet committee earlier on the utility’s financial solvency and circular debt issue, Jan Abbas Zaidi said that issues of subsidies, receivables and payables were deliberated upon in Islamabad.

“All the issues, including those relating to the business forecast, crisis management, receivables, payables, and the quantum and mode of government support to the utility owing to loss caused by disconnection of ‘kunda’ and other illegal connections also came up for discussion,” said Mr Zaidi, though he did not divulge the details of the decisions.

Sources said that the government had sought some written assurances from the utility’s private management, especially with regard to investment for enhancing its generation, transmission and distribution network. The issue of circular debt and working capital and their modalities will be further examined by the finance and water and power ministries with a direction being issued to the utility to inject more money and clear outstanding debts it owes to the suppliers of energy and fuel, including the IPPs, they said.

The government has made it clear to the owners that it “cannot keep on bailing out the utility on the issue of debts”. Sources however said the ‘patrons’ of the privatised utility in the government had succeeded in deflecting the fury of the people in view of the dismal performance of the KESC. They allege that the whole exercise was “a cover-up to deal with the public’s outrage”.

While extending the time frame for revamping of three model towns — Gulberg, Gulshan and Shah Faisal — until September 15, the government has also included Lyari Town as the fourth model town to be upgraded by that date.

But there were apprehensions that this deadline would not be met because of the August 20 referendum of the Unions and Ramazan.

Further, six more towns will be revamped by December 31, said Mr Zaidi. He said that the utility planned to complete the revamping of 10 towns of the city by December this year. Another four towns will be revamped by March and the remaining four would be upgraded by June next.

Mr Zaidi said that two new feeders had been set up in Gulshan Town while load balancing had also been done there. Another 16 new feeders were in the pipeline for the improvement of the supply system.

Announcing the operational update, Mr Zaidi said that at 2pm on Thursday, the total demand of the City stood at 2,264MW and the utility was supplying the same. All the units, including IPPs, were running at full capacity. He said that 30 cable faults were repaired during the previous 24 hours, of which 14 were those of main cables and the rest belonged to link cables.

Jahangir Azar, Director Industrial Relations, updated the media on the upcoming Aug 20 referendum in the KESC on this occasion and expressed his concerns over the NIRC’s decision to announce a date without finalising the voters list and including the security guards as workmen.

Annnother claim by PM!

Posted in Claims & Blames by kescblog on August 8, 2009
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Have you seen gumby? No? Anyway…

Prime Minister Yusuf Raza Gilani said here Saturday that electricity problem in Karachi will be solved after revamping the old system by KESC management which is the root-cause of present day situation. He was addressing a press conference after a meeting with the KESC Management at KESC Head Office.

Sindh Governor Dr Ishrat-ul-Ebad Khan, Chief Minister Syed Qaim Ali Shah, Federal Minister for Water and Power Raja Parvez Ahsraf and CEO KESC Naveed Ismail were also present on the occasion.

Earlier, in a briefing the KESC Management apprised the Prime Minister about power supply situation, the problems being faced and their future planning viz-a-viz investment in the KESC.

The Prime Minister pointed out that he is the first head of an elected government who is visiting KESC after 13 years and this speaks about the importance he gives to Karachi and its problems.

He said that a fact finding Cabinet Ministers Committee on Energy Crisis is already working and visiting various provinces and has also held a meeting on the KESC issue in Karachi.

He observed that in order to solve the existing power supply problem, the KESC’s capacity has to be enhanced and its system revamped, which has grown obsolete.

The Prime Minister said that three Towns of Karachi have been identified as model for system revamping whereafter the Governor and Chief Minister would convince the people for extending their cooperation and ending up the kunda system.

He was of the view that KESC must have effective inquiry office from where the people could know as to why there is no electricity and when an accurate information will be communicated to them, they will have their trust in the utility.

Yusuf Raza Gilani informed that as a follow up to the Cabinet Ministers Committee meeting held in Karachi, the owners of the company have been invited for a meeting to be held in Islamabad on August 5 to get KESC’s financial information from them and their investment plan.

He said the Cabinet Ministers Committee is holding its meetings on daily basis and is meeting various stakeholders to resolve the issue of energy crisis.

He said for Karachi it has been directed to hold meetings with the Chamber, industrialists, Chief Minister, City Government and other stakeholders to find out a solution to the issue and in this regard all out efforts are being made.

“The present government is facing various problems including energy crisis and all these will stand solved through our hands”, he declared.

KESC seeks to facilitate citizens on Shab-e-Baraat

Posted in Claims & Blames by kescblog on August 6, 2009
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The Karachi Electric Supply Company (KESC) has made all possible arrangements to ensure stable power supply on the occasion of Shab-e-Baraat. This was stated by KESC’s Director Corporate Communications Ayesha Eirabie in a media briefing here on Wednesday. She said consumers could get KESC’s temporary connections for religious congregations if they needed. Giving an operational update, Eirabie said that at 2 pm on Wednesday, the total demand stood at 2,258MW and the utility was supplying as per the demand, adding that there was no load shedding in the city. ppi

Aptma to supply 40 megawatts power to KESC

Posted in Claims & Blames by kescblog on August 6, 2009
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The All Pakistan Textile Mills Association (Aptma) will start supplying at least 40 megawatts of its surplus electricity to Karachi Electric Supply Company (KESC) in the next few days. According to sources, talks between the two parties-Aptma and KESC-regarding tariff and other related issues are likely to be finalised within two or three days.

Aptma member industries in the city would use their maximum power generating capacity to run not only their industry but to also supply extra electricity to KESC, sources said. The availability of at least 40 MW is total surplus power of all mills of the Association in the city, which ultimately would be a big support to KESC to reduce the demand and supply gap, sources said.

The mills, they said, have already been offering to the company to get their surplus electricity from their generators for the last one year. KESC was reluctant to get the supply from these industries due to the long distance and lack of other requirements to connect the KESC”s grid with the individual industry, they added.

But after realising the need and importance of the industries” surplus power, the company started negotiations with Aptma as it would arrange the supply lines from the industries to the company”s grids. The industries, comparatively with other independent power producers (IPPs) and rental power plants (RPPs) would supply cheaper electricity to KESC at over three rupees per unit.

The textile industries, which mostly use gas as fuel for power generation, can afford sale of surplus power for such lower rate, sources said. They said the textile mills which had obtained licence for installing their own power producing engines were independent and not using the company”s electricity. To minimise the current power crisis in the city, which affected the industries” productions badly, the factories or industries should arrange their own sources of power and the government should also facilitate them, sources added.

It is to mention here that Zakaria Usman, Vice President of FPCCI, in a recent seminar on power crisis had suggested that the fixed charges on the industry”s power production should be lifted to encourage more electricity generation by the industries themselves.

He said if the charges were lifted, the industries could at least supply the surplus power to the neighbouring factories, which would not only minimise power consumption of KESC but would also facilitate the factories by providing smooth and cheaper electricity.

Source: Business Recorder

SAMA castigates KESC

Posted in Claims & Blames,Reaction by kescblog on August 5, 2009
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The Saddar Alliance of Market Associations (SAMA), Tuesday withdrew their strike call after an assurance by Chief Minister’s Advisor Ms Sharmila Farooqi for solution of their problems like load-shedding and a formal contact with Distribution Incharge KESC Jan Mohammed Abbasi in this respect. The Advisor also accepted an invitation to visit the office of SAMA on Wednesday and said that Nazim Saddar Town too would accompany her.

The Advisor was informed that President KCCI Anjum Nisar too would come for a meeting.

During meeting with the 5-member SAMA delegation, led by Faheem Ahmed Noori, the Advisor was apprised that unannounced load-shedding has adverely affected their business and over 120 registered markets’ Alliance had decided to come on roads in protest against ongoing load- shedding during the next two days.

However, they said, they are withdrawing their strike call on her assurance that their load-shedding related issue would be got resolved at a higher level.

Sharmila said that special attention is being paid to solving the problems of traders on priority basis and asked them to support the government in coping with the energy crisis and try to open shops around 8 or 9 in the morning and close them by 9 p.m. so that energy is saved to possible extent.

She was informed that KESC is indulging in average and over billing while speed of meters is higher by 20-30 percent and no heed is paid when they go KESC authorities for redressal of their complaints.

The delegation said that there is no arrangement for parking in Saddar’s important markets and people, in collusion with traffic personnel, park their vehicles in front of shops and go away. They said this not only block access to shops but such vehicles also pose security risk.

They described cleanliness as non-existent although they pay taxes on this count. They demanded that all the clauses of the agreement between government and KESC be made public as the people are unaware of the same although they pay the bills and KESC pays its employees from their taxes. —APP

Prime minister claiming and claiming…..

Posted in Claims & Blames by kescblog on August 2, 2009
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* PM says system has become obsolete g KESC’s capacity will be enhanced
* Dams to be constructed to cope with water shortage

KARACHI: The energy crisis in Karachi will be resolved after the Karachi Electric Supply Corporation (KESC) management revamps the old system, which is the root cause of the problem, Prime Minister Yousuf Raza Gilani said on Saturday.

The prime minister was addressing a press conference after meeting the KESC management. Sindh Governor Dr Ishratul Ebad, Chief Minister Qaim Ali Shah, Federal Water and Power Minister Raja Parvez Ahsraf and KESC Chief Executive Officer Naveed Ismail were also present.

Earlier, the KESC management apprised the prime minister of the problems faced by the KESC in supplying power to the city as well as their future plans.

Gilani said a fact-finding cabinet committee on energy crisis was already visiting the province and meeting the KESC on the issue.

Capacity: He said in order to resolve the existing power supply problem, the KESC’s capacity had to be enhanced and its system revamped, as it had grown obsolete.

The prime minister said three towns in Karachi had been identified as models for the system revamping after which the governor and the chief minister would convince the people to extend their cooperation and put an end to the ‘kunda’ system.

He was of the view that the KESC must have an effective customer service infrastructure where people could inquire about issues such as load shedding.

Gilani said as a follow up to the committee’s meeting in Karachi, the owners of the company had been invited for another meeting to be held in Islamabad on August 5 to talk about the KESC’s financial situation and its investment plan. He said the committee was meeting various stakeholders on daily basis to resolve the energy crisis. Gilani said the energy crisis was a challenge for the government and in case of Karachi, it would soon be resolved with an effective strategy.

“The government is facing various problems including the energy crisis and all the issues will be resolved soon,” the prime minister said.

Dams: He said the water shortage was another major issue and new dams would be constructed to cope with it, adding that it would require three to four years of planning and the government had already started working on it.

The prime minister said industry in the country was suffering because of the energy crisis, adding that new units would be set up after the problem was solved to generate employment opportunities.

He said Karachi was the economic hub of the region and his visit to the city was reflective of the importance the prime minister gave it.

“Whatever resources are required, we will utilise them here and mitigate the suffering of the people of Karachi who have faced problems because of the energy crisis during the recent rains,” Gilani said.

He said the government was working on various options including the construction of dams to meet the water shortage.

Asked whether the construction of Kalabagh Dam was on the cards, the prime minister said only those dams would be constructed, which were agreed upon by all provinces.

He said the Pakistan People’s Party and the Muttahida Qaumi Movement would continue to work together. app

How KESC trying to save their property?

Posted in Claims & Blames,Reaction by kescblog on July 26, 2009
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The Karachi Electric Supply Company (KESC) has announced the establishment of community support teams to help needy persons affected in electricity-related rain emergencies.

This was announced by KESC Director Corporate Communications Ayesha Eirabie, at a media briefing here on Saturday. She was accompanied by the utility’s Director Distribution Zahir H. Rizvi.

She said that these teams had been located in all the four regions of the KESC and they had heavy vehicles that could work in standing water, emergency generators, water pumps and first aid kits. They would also have constant support from the Edhi and Cheepa centres. In case of an emergency situation during the coming rains, the teams could provide immediate relief to the persons affected by a rain-caused emergency and drive them to hospitals. The consumers could call these teams for help at UAN 111-333-700.

In reply to a question, she said that the telephone lines of KESC’s call centre-118, affected by the constraint in PTCL’s fibre optic, had resumed functioning. The telephone lines of maintenance centres which had been affected by the rain water had also been restored, she added. In response to another question, she said that the Regulatory Team of the KESC had been preparing answers to the questions raised in the notice from the National Electric Power Regulatory Authority (Nepra).

She said that the generation, transmission and distribution system of the utility had been working normally and Friday night’s rainfall had not caused any issue. A few feeders had tripped which had been fixed within a matter of minutes.

KESC Director Distribution, Zahir Rizvi, informed the media on this occasion that at 2pm on Saturday, the KESC had been supplying 2039 Megawatts (MW) electricity to the city against the same demand of electricity and there had been no load-shedding. Pakistan Electric Power Company (Pepco) had been supplying 640 MWs, he added.

Earlier the KESC said that the Cantonment Board Clifton (CBC) had damaged four KESC cables during water cleaning owing to which electric supply to some parts of Clifton was suspended. KESC teams were working to restore supply as soon as possible.


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