No amount of investment can offer IPPs immunity from scrutiny: Gohar Ejaz

Renowned industrialist and former Industry minister Gohar Ejaz has said that IPPS crisis was not only the case the fortunes of 40 families rather it was hitting hard the lives of 240 million people in Pakistan, reported 24NewsHD TV channel.

Taking to his social media account X (Twitter), Gohar Ejaz said that the government has set up a new Task Force for Reforms of the Power Sector to review deficiencies and mismanagement in power sector which was a good step.

He said the friends of these 40 families have openly come out defending the 2.1 trillion capacity payments to them without or partially producing electricity, terming them as contractual obligations and returns on investments to these 40 Pakistani families. He said their petition for forensic audits of IPPs has been filed in the Supreme Court of Pakistan. But these companies are afraid that if they were audited by independent auditors, it will hurt their confidence. He said no amount of investment can buy IPPS immunity from scrutiny.

He said traders body FPCCI and the people of Pakistan were asking for the forensic audit of these IPP companies. The nation wanted to know if any investment was made by any of these IPP sponsors. There is ample evidence to show that almost all equity value was created only on books as the plant values were overinflated by the sponsors.

He made it clear that this is not a case of investment by these IPP families: this is a matter of economic sustainability and life and death for the 240 million people of Pakistan.

Gohar said in addition to over-invoicing while setting up the IPPs, there are also issues stemming from the misdeclaration of fuel consumption and fuel values as well as of taking capacity payments without getting the capacity audited or producing electricity.

He demanded that a forensic audit must be conducted and payments should only be made for power produced.

Gohar urged the citizens to stand together with Pakistan against these capacity charges inefficiencies and mismanagement being overcharged to all consumers: domestic, commercial, agriculture and industrial by these 40 IPP families.