Senate panel asks Nepra to probe IPPs, payments as power costs surge

ISLAMABAD: A Senate committee on Tuesday directed the National Electric Power Regulatory Authority (Nepra) to carry out a detailed inquiry into the performance of Independent Power Producers (IPPs), including capacity payments, energy payments and extensions granted to the plants.

The direction came during a meeting of the Senate Standing Committee on Cabinet Secretariat, chaired by Senator Saleem Mandviwalla, which reviewed a range of issues related to civil service reforms, governance, regulation and institutional transparency.

Lawmakers voiced strong concern over the continued rise in electricity prices and took up allegations of over-invoicing, extensions beyond agreed timelines and the lack of an effective system for periodic verification of actual generation capacity by the regulator.

Nepra briefed the committee on tariff determination, capacity payments, energy payments made to IPPs and extensions granted to some producers after the expiry of their contractual terms. The committee instructed the regulator to submit a detailed comparative report on the matter.

Delay in approval of equipment also discussed

The committee also examined the prolonged delay in the approval of 11 kV vacuum circuit breakers. Nepra told the panel that a decision was expected by the end of the current month. The committee, however, postponed further discussion on the issue and directed that all relevant stakeholders be invited to the next meeting.

Concern over reported private-sector PAO appointments

Members also discussed a calling attention notice regarding the government’s reported decision to appoint Principal Accounting Officers (PAOs) from the private sector.

The committee observed that, within the constitutional framework, PAOs hold a central role in the daily administration of ministries and divisions and serve as key officials responsible for public accountability and financial discipline.

The secretary of the Establishment Division informed the committee that no such appointments had been made. Even so, the panel took serious notice of advertisements issued in this connection and strongly recommended that no PAOs from the private sector be appointed in violation of the law.

Gas billing complaint and CSS concerns taken up

The committee also reviewed a consumer complaint against Sui Northern Gas Pipelines Limited over a domestic gas bill of Rs700,000. Members questioned the Oil and Gas Regulatory Authority’s handling of the appeal and directed the secretary of the Establishment Division to personally look into the matter and ensure that it is resolved.

Discussion on steps to secure the due share of provinces in all federal services and corporations was referred to the Senate Functional Committee on Devolution, which the panel said was the appropriate forum for the issue.

The meeting further took up matters related to the Civil Service Examination, including the induction mechanism, selection criteria and the high failure ratio in CSS examinations.

Committee members also raised concerns over reports circulating on social media about unusually high interview marks awarded to recent CSS toppers. A representative of the Federal Public Service Commission told the committee that detailed marks are disclosed only to the candidates concerned. The committee then directed the relevant authorities to submit a detailed written reply along with complete results at the next meeting.

The meeting was attended by Senator Saadia Abbasi, Senator Amir Waliuddin Chishti and Senator Mohammad Abdul Qadir, while Senator Anusha Rahman Ahmad Khan joined virtually through Zoom. Senator Zamir Hussain Ghumro, Senator Jan Muhammad and Senator Saifullah Abro also attended as movers of agenda items.