ISLAMABAD – Shanghai Electric Power (SEP) of China is displeased overunnecessary delays in its K-Electric acquisition plan and has conveyed thatit can’t wait forever.
A delegation, headed by Vice Chief Economist of the SEP Mingwei Shi, talkedto Minister for Planning, Development, and Reform Makhdoom Khusru Bakhtyarregarding the issue. The delegation complained that its $1.77 billion planto acquire K-Electric is continuously facing hurdles.
The delegation further said that the relevant ministries did not doanything in seven months since the new government took charge.
It further said that it has been five months since Privatization MinisterMian Mohammad Soomro formulated a committee for the settlement of matterspertaining to transactions.
Still, the SEP is going knocking at the doors of one ministry or another,as the bureaucracy seems to be following a hands-off approach to the issue.Owing to the delay, the SEP’s plans for a $96 Million investment for theimprovement of the K-Electric system is up in the air.——————————
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“Imagine the results of the implementation of even parts of the proposedinvestment by now had the deal materialized two years ago,” said MingweiShi.
Reportedly, the government has not issued a national security certificateto formalize the deal. The main issue behind this chaos is KE’s unsettledliabilities payable to the public sector gas and power companies.
These liabilities amount to around Rs. 100 billion. KE also has claimsagainst the articles of the Sindh government.
