KP energy dept fails to utilise allocated funds

PESHAWAR: Khyber Pakhtunkhwa’s (KP) Energy and Power Department could hardly spend 6.9 per cent from the allocated Rs9 billion for various projects to increase the province’s electricity production in this year’s annual development programme.

According to the documents, the KP Finance Department had released Rs3.8 billion out of Rs9 billion in which the department could spend only Rs623 million on various projects.

Provincial government allocated token funds for 496 MW project in Kohistan-Supat Power Project on in which KP has 26 per cent shares while Korea Hydro & Nuclear Power (KHNP) had the 74 per cent share.

For access to energy construction on river and tributaries, a development bank project, the department could not spend even a single rupee out of the Rs700 million allocated amount.

For access to Energy-Solarization of Schools and BHUs, a project funded by the Asian Development Bank (ADB) for which Rs 879.4 million were allocated, only Rs 69.48 million could be spent by the relevant department so far.

The KP finance department could not release funds for KP Hydro Development Project (Kalkot-Barikot-Patrak HPP-47 MW Gabral0Kalam HPP-110MW and Patrak-Shiringal HPP-22 MW) and thus a major project that could increase the province’s electricity generation have been postponed.

Meanwhile, only Rs337,000 were spent on the Rs56.28 million project for the project of restructuring of the electric inspectorate of KP Energy.

While Rs15 million were allocated for the capacity building programme for the energy and power sector, only Rs2.9 million could be utilised.

For the feasibility study for the establishment of provincial transmission and dispatch company projects, for which Rs10 million were allocated, no funds were released and thus the project was further delayed.

Similarly, the purchase of land for the Petroleum Institute of Technology in Karak, for which Rs200 million were allocated, could not be implemented because the authorities failed to release funds for it.

Also for the feasibility study of wind energy in KP, the government failed to release Rs70 million allocated for the project.

The energy department was able to spend Rs41.48 million on the solarisation of the Chief Minister’s Secretariat.

Allocated funds of Rs39 million were spent on the installation of solar systems in 100 villages across the province. Rs316 million were allocated for the electrification of un-electrified villages in KP which had been successfully completed.

Sources told this scribe that work on several important projects in KP has been delayed due to the coronavirus. In these projects, four are near completion.

Out of the projects for which the token funds have been allocated by the provincial government, some of these projects are being constructed in collaboration with the ADB and some in public-private partnerships for which funds can be released at any time.

According to sources, the provincial government is facing financial crises due to lack of the National Finance Commission (NFC) Award and a number of projects are pending.  If the federal government releases the province’s NFC Award and the net hydel profit of the province, these projects can be completed on time, sources added.

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