ISLAMABAD: In view of the proposed privatisation of electricity distribution companies (DISCOs), the caretaker government has decided on adopting a [proactive approach] to ‘strangulate’ any possible resistance from unions and employees.
According to officials’ privy to the development, the caretaker setup has planned enacting “Compulsory Service Act” in Discos, National Transmission & Despatch Company (NTDC) and generation companies (GENCOs) to curtail potential protests, strikes, and union activities against the process.
“The step is core part of the strategy to preclude potential protests and disruptions concerning the proposed privatisation of Discos.
They said the interim government has decided to implement Compulsory Service Act as a legal remedy to keep the process smooth.
They said the Compulsory Service Act is designed to restrict any organised opposition or demonstrations related to the proposed privatisation process.
The government has also decided to initiate strict actions against individuals found in violation of the Compulsory Service Act, they added.
‘No handing over’
Earlier, the Ministry of Energy and Power Division officially denied reports regarding the handing over of the control of Distribution Companies (DISCOs) to any other institution.
In a press release, the ministry clarified that there have been no changes in the management of DISCOs, nor any plan to handover DISCOs in the control of “any institution” of the State.
Last year, the apex committee of the Special Investment Facilitation Council (SIFC) had ordered to expedite the privatisation process of the loss-making state-owned entities.
Caretaker PM Anwaarul Haq Kakar had issued directives to all institutions for implementation of the SIFC’s decisions in a coordinative way. He said that the measures adopted by the SIFC will give short and long-term benefits to Pakistan.
COAS General Syed Asim Munir has also assured Pakistan Army’s commitment to play role in the revival of the national economy.
‘Discos incurred losses to the tune of Rs337b’
It is to be noted that the electricity distribution companies (DISCOs) have incurred whopping losses to the tune of Rs337 billion during fiscal year 2022.
According to an official document, the DISCOs have incurred more losses than other government entities during the FY-2022.
According to official documents, the Peshawar Electric Supply Company (PESCO) topped the list with huge losses of Rs102.1 billion, while the Quetta Electric Supply Company (QESCO) followed with losses of Rs76-42 billion.
According to loss-making state entities, the Hyderabad Electric Supply Company (HESCO) suffered loss of Rs54.41 bln; the Lahore Electric Supply Company (LESCO) suffered losses of Rs30.2 bln; Sukkur Electric Supply Company (SEPCO) Rs29.4 bln; Multan Electric Supply Company (MEPCO) Rs22.81 billion and the Tribal Electric Supply Company (TESCO) incurred the losses to the tune of Rs21.15 billion, respectively.
