KARACHI: K-Electric Board Chairman Shaheryar Chishti said the company is investing Rs15 billion to upgrade power infrastructure and ensure a reliable and uninterrupted electricity supply to Karachi’s industrial sector.
The investment will include laying new cables and wires, upgrading grids, bifurcating feeders and undertaking other infrastructure improvements.He said industry is the backbone of Karachi’s economy and employment, adding that if industries did not operate, neither employment nor the city’s economic activity could continue. He expressed these views while speaking to industrialists during a visit to the Korangi Association of Trade and Industry (KATI).
Chishti said Karachi has tremendous economic and industrial potential and that industrialists are among K-Electric’s best customers. He said the company is making efforts to further improve the quality of electricity supply and services.
He said K-Electric’s strategy is not limited to power generation but focused on strengthening the entire generation, transmission and distribution system to provide consumers with a more reliable electricity supply.
He added that K-Electric is maintaining engagement with all industrial associations, including those in Korangi, SITE and Bin Qasim, to understand industrialists’ problems and find solutions.
According to Chishti, measures are being taken to ensure an uninterrupted electricity supply to Karachi’s citizens. K-Electric’s network currently comprises more than 2,100 feeders, of which over 70 per cent are exempt from load-shedding. He said there has been no loadshedding for industrial consumers since 2013.
Earlier, KATI President Muhammad Ikram Rajput said Pakistan’s industrial sector is under severe pressure because of high electricity and energy costs. The continuous increase in production costs has made it increasingly difficult for Pakistani products to remain competitive in regional and international markets.
He said energy prices have become a major component of industrial costs, meaning that even a small increase in electricity tariffs directly affects production costs and export competitiveness.
Rajput said Pakistani industry faces higher production costs than other countries in the region, while fuel charges, various surcharges and other additional costs in electricity bills are further increasing the difficulties faced by industrialists.He urged the government to review electricity tariffs for industrial consumers and reconsider all additional charges that are adversely affecting production.
The KATI president said industrialists are also burdened by heavy capacity payments in addition to high electricity prices. Payments for unused electricity generation capacity have become a major problem for both the economy and industry.
He warned that without structural reforms in the energy sector and a reduction in electricity costs, it will become increasingly difficult for local industry to compete in international markets.
He said the government and power distribution companies should consult industrialists to develop a viable system under which industry could receive electricity at competitive rates, enjoy stable energy supplies and avoid unnecessary financial burdens.
He welcomed KE’s announcement of investment in industrial infrastructure and stressed that the benefits should reach industrial consumers in practical terms.K-Electric CEO Syed Muhammad Taha said new technologies, feeders and modern systems are being introduced to address electricity-related problems in industrial areas.
He said some industrial areas are facing power-quality issues because of residential settlements in and around these areas. These problems will be addressed through new feeders and modern infrastructure.
He said work is also under way to gradually transform Karachi’s power system into a smart grid through smart metering and other modern technologies.Taha said K-Electric remained in continuous contact with industrialists and is addressing their electricity supply and service-related complaints on a priority basis. He clarified that tariff changes are not within K-Electric’s authority, although the company is working with relevant institutions to help resolve the issues.He urged consumers to pay their electricity bills on time and cooperate with K-Electric in identifying cases of electricity theft.
