POWER CRISIS SENDING A NEGATIVE SIGNAL ABROAD
EXPORTERS UNABLE TO HONOR DELIVERY DEADLINE
June 23 - 29, 2008
The terms and conditions of the privatization of KESC should be made public to let people know about failure of the new management to honor its commitments to meet power needs of the city by enhancing its generation capacity after the privatization.
In fact, the prime objective of privatization of the utility was to streamline its core function which is nothing but to ensure uninterrupted power supply to the consumers spread from Jhangshai to Lasbela. However, despite a lapse of 2.5 years the situation of power supply has gone even from bad to worst to tell that privatization was a futile exercise on the part of the economic planners.
It is shocking to note that the power consumption of the industries located in SITE Industrial area has come down from 225mw to around 110 mw either due to closure of various units on account of power crisis or owing to captive power plants installed by a number of units to get rid of the nuisance of four time load shedding just in 24 hours.
The Chairman SITE Association of Industries has expressed his deep concerns that despite 6-8 hours load shedding being observed on daily basis, the monthly bills of power consumption do not show any sign of reduction in charges on power consumption. Situation calls for a check over exorbitant billing exercise of the billing department of the KESC.
Meanwhile, the power crisis, continued to persist without rectification, sending negative signals of the country about honoring the export commitments to the foreign buyers.
The so-called utility services keeping a mum over their program to address the acute power shortage by enhancing their generation capacity and in a way they are playing with the economy and of course the image of the country.
The financial institutions especially the State Bank of Pakistan have received complaints from various chambers of commerce and from exporters that heavy load shedding has adversely affected their production and as a result some of the exporters could not ship export consignments in time or realize export proceeds within FY 2007 - 08.
In order to address the problems faced by the exporters it has been decided to provide the following relief in respect of refinance availed by exporters under both Parts of Export Finance Scheme for the FY 2007- 08:-
i) The exporter, who availed pre-shipment finance during 2007-08 and could not ship the goods within a maximum period of 180 days, a grace period of 15 days, has been allowed. In other words there shall be no fine for delayed shipment if qualified shipment(s) is /are made within 195 days from the avail of loan.
ii) An additional period of one month has been allowed for the exporters having shortfall in required performance under Part-II for the monitoring year 2007-08. Accordingly, they may include entries showing realization of export proceeds during July, 2008 in their EF-1 statement for the year 2007-08.
iii) The exporter having met the performance requirements of the Scheme shall submit EF-1 statement for the purpose of verification to FEOD during July-August, 2008 as usual.
The above extension does not affect existing period of loan and all finances/refinances shall continue to be adjusted at the expiry of 180 days under both Parts of the Scheme, as per normal procedure.