A senior member of the power division told the senate standing committee that PEDO is being given undue favours in the form of concessions in the signing of Energy Purchase Agreements (EPAs). He said that the federal government has signed “incomparable” (EPAs) of 71 MW of hydel electricity with Pakhtunkhwa Energy Development Organization (PEDO), giving the right to “exit” from the pact on need basis.
The following three projects i.e. 18 MW Pehure Hydro-power Project, 17 MW Ranolia Hydropower Project and 36.6 MW Daral Khwarr will supply power to the national grid on the basis of take and pay instead of take or pay (must run basis). However, agreement on 2.6 MW Machai Hydropower Project will not be signed until Nepra determines its tariff.
Managing Director NTDC informed the committee that PEDO has been given a waiver of a couple of months, maintaining that the equipment of the project is not tested. He said that Hub Power Company (Hubco) faced a similar case that forced the replacement of the equipments which was below specified standards.
