Violation of PPRA rules irks senators

ISLAMABAD: The Senate Standing Committee on Water and Power was informed here on Friday that violation of PPRA rules in tendering of transmission lines project at Neelum Jhelum Hydro Project was made to speed up the project.

State Minister for Water and Power Abid Sher Ali stated that the Neelum Jehlum project had already been delayed and the government wants to complete it as early as possible.

He assured the committee that complete details would be provided in the next meeting, and asked the committee to ignore minor file-work and let the work be completed.

Senators pointed out that after tendering the NTDC cannot change contents of the contract when violation has already been made.

According to NTDC Managing Director Ziaur Rehman, initially 10 bidders took part in the bidding process in which two companies, one from China and other from Iran, were short-listed.

The Iranian company, he said, provided some “fake” papers and remained non-responsive at a later stage and finally the bid was given to China Company, which will arrange 85pc loan, which would later be repaid by the NTDC in 24 years.

Senator Zahid Khan said that the bidding process and approval of Chinese company should not be in violation of Public Procurement Regulatory Authority’s rules.

The committee decided to have a detailed meeting over the bidding process and to send a list of queries to the Ministry of Water and Power.

Abid Sher Ali promised to provide all details in the next meeting.

The committee also enquired about the recent increase in electricity prices and Nepra acting chairman Khawaja Mohammad Naeem briefed the committee over price determination.

Responding to the comments by the committee, he assured the committee that Nepra is autonomous body and worked independently, without any influence of the government.

He said that during the year 2012-13, the government provided Rs262 billion as electricity subsidy, while for the fiscal year 2013-14, the government allocated Rs150bn, which might be increased at the year end.

The committee also decided to take the Balochistan and Sindh power-related problems in the next meeting.