Karachi, September 07: Karachi Electric Supply Company stated, that in a detailed judgment dated September 5, 2012, the Divisional Bench, Sindh High Court has dismissed pending appeals against KESC and upheld KESC’s principled stand that those consumers who use KESC power for standby have changed their purpose and therefore are subject to disconnection in accordance with law. The Court upheld the judgment at first instance of Justice Munib Akhtar dated April 17, 2012 in KESC’s favour.
KESC has welcomed this decision as being a justification for its efforts to curb the abuse by many industrialists in diverting natural gas for captive power generation whilst refusing to allow their electric power entitlements to be diverted elsewhere in the city where ordinary consumers actually need such power. The Court also observed that the industrialists had failed to disclose what damage would be caused to them by fully utilizing KESC power.
Even the undertakings provided to KESC by the industrialists to remedy their lack of consumption was attacked in arguments by the industrialists but the Sindh High Court held that the same were valid, enforceable and not contrary to law which further strengthens KESC’s position. KESC was represented in the said appeals by Barrister Abid S. Zuberi.
This decision goes a long way to clear the misinformation being spread by various vested interests against KESC which has for the past 3 years exempted all major industrial zones from scheduled load shedding. It is ironic that up till now while a handful of industries are enjoying the luxury of regular gas supply for captive power generation, the gas requirement of a Public utility such as KESC serving over 20 million ordinary citizens of Karachi is being ignored despite firm written commitments. It is hope that as a result of this judgment, more gas will be available to KESC for power generation at one third the cost of expensive imported furnace oil and this will mean less load shedding and more affordable tariff rates for everyone in Karachi.