Friday, January 22, 2021
China's illegal 'profiteering' in power sector leads to massive blackouts in Pakistan
Citing a report of the nine-member committee headed by Muhammad Ali, a former chairperson of the Security and Exchange Commission of Pakistan (SECP) of April 2020 FM Shakil, writing an opinion piece in Asia Times said the report made startling revelations about widespread malpractice in the power sector.
The report lifted the lid on the extent of Independent Power Producer (IPP) corruption, including among Chinese units installed under a government-to-government arrangement for China-Pakistan Economic Corridor (CPEC) related operation.
The report traced 100 billion Pakistani rupees (USD 625 million) in annual over-payment to the IPPs and discussed the magnitude of illegal "profiteering" of Chinese energy companies.
Asia Times disclosed that Huaneng Shandong Ruyi Energy (HSR), which set up the 1,320 MW Sahiwal Coal Power Project in Punjab and the Port Qasim Electric Power Company Limited (PQEPCL), had inflated their set-up costs. Both companies were valued at USD 3.8 billion at the time of launching. The Committee found overpayments of 483.64 billion Pakistani rupees (USD 3 billion) to these companies during the last three years.
The report revealed that most of the IPPs, including those set up under the CPEC arrangement, had defied the government policy and made 50 to 70 per cent profits, as against the 15 per cent maximum determined by the regulatory authority with dollar indexation.
China has earmarked USD 30 billion for Pakistan's energy sector through CPEC funds. Several Chinese IPPs have been involved in the construction of as many as 27 power plants in Pakistan with a total installed capacity of 12,000 MW under the CPEC program, reported Asia Times.
These include 14 coal-fired units, six wind power, six hydropower and one solar energy project that have either been operationalised or would start generation over the next few years.
Out of these power plants, 16 are in Sindh, four in Punjab, two in Balochistan, one in Khyber Pakhtunkhwa, two in Pakistan-occupied Kashmir (PoK), and two in Gilgit-Baltistan (PoK).
"Analysts, however, have questioned the viability of these energy projects, primarily because most of the Chinese investments focused on power generation and ignored the distribution of power, which is clearly in a shambles judging by the recent blackout," expressed Shakil.
With an inadequate capacity and rundown transmission system, Pakistan has suffered large and frequent blackouts for decades.
As per the analysts, Chinese-funded power projects, after completion, will mostly utilise existing rundown distribution infrastructure, which is currently making 25 per cent annual losses.
Moreover, transmission and distribution losses, overdue payments, and theft and pilferage of electricity also power up the debts that threaten to keep the lights out in Pakistan, reported Asia Times.
https://in.news.yahoo.com/chinas-illegal-profiteering-power-sector-102858267.html
Bilawal Bhutto pitches for no-confidence motion to oust Imran Khan-led Pak govt
By Sajjad Hussain
Pakistan Peoples Party chairman Bilawal Bhutto-Zardari on Friday said the Opposition parties should bring a no-confidence motion against the Prime Minister Imran Khan-led government, as a majority vote in the House would be the most effective method to topple the government.
Addressing the public at an event in Sindh province''s Larkana city, the Opposition leader said he would talk to other Pakistan Democratic Movement (PDM) leaders on the no-confidence motion as it would be better than continuing their protest movement.
The 11-party PDM, formed in September last year, has demanded the present government resign, alleging the 2018 elections were rigged with the help of the Army to install "puppet" Prime Minister Imran Khan.
“The democratic way to send this incompetent, illegal, unqualified prime minister is through a no-confidence motion. Even 10 rallies will not yield the kind of results as a strategic meeting (opposition leaders) over a cup of tea which is sure to cause the government to worry," Bhutto said.
Bhutto said he would ask the Opposition parties to "strike" in the Parliament.
In the last few months, the PDM has held scores of anti-government rallies in major cities.
Though Bhutto had earlier proposed that PDM leaders must resign en-mass from the Parliament, the plan has not been executed.
Political pundits have also suggested cracks in the PDM leadership.
https://www.outlookindia.com/newsscroll/bilawal-bhutto-pitches-for-noconfidence-motion-to-oust-imran-khanled-pak-govt/2015762
We will send home the present incompetent and illegitimate government in a democratic, constitutional and legal manner, Chairman PPP
Chairman Pakistan Peoples Party (PPP) Bilawal Bhutto Zardari has said that we will send home the present incompetent and illegitimate government in a democratic, constitutional and legal manner, and for attacking it through a no-confidence motion we will convince all the parties in PDM.
Addressing the inauguration ceremony of the Larkana Industrial Estate, the PPP Chairman said that the parties in the PDM would be persuaded that if we have to attack, we have to attack in the assembly in a democratic way. “All the allies in the PDM will be on the same page and even our meetings over a cup of tea are scaring the PTI regime more than rallies,” he stated.
Bilawal Bhutto Zardari said that nowadays PTI ministers are trying to create cracks in the opposition alliance, which is a reflection of their fears as PTI government is afraid of the joint power of attack of all democratic forces.
He said that the federal government of PTI has left the people especially the people of Sindh destitute. But we are continuing to fight for the rights of the people at all levels. The government ministers also believe that the PPP and the Sindh Chief Minister are the obstacles to Imran Khan’s anti-people policies. “PPP leaders are targeted through media trial and NAB, but we know how to counter conspiracies, and we know how to get undemocratic forces out of politics,” he added.
The PPP Chairman said that the PTI government wants to run the economy and the country through intimidation and pointed out that the Sindh government increased tax revenue but did not use sticks for this.
Bilawal Bhutto Zardari said that his party has always served the people under its manifesto adding that he wanted to send a message to the business and industrial communities that like in the rest of the country, the role of PPP is being tarnished in front of them. “We are definitely people-friendly, but that does not mean that we are opponents of industrialisation and business.
He said that establishment of Larkana Industrial Zone would not only benefit the local industries and businesses but also create employment opportunities for the people. “We have to work together in this difficult economic situation. PTI government has not provided a single job of the committed 10 million jobs or 5 million houses instead it has deprived tens of thousands of employment and homes”, he added.
https://www.ppp.org.pk/pr/24323/