K-Electric to collect Sindh govt taxes through electricity bills
- By Web Desk -
- Sep 08, 2021
KARACHI: K-Electric will be collecting Sindh government’s taxes through the electricity bills after the provincial authorities were unable to clear dues of the power utility, removing a major obstacle in its deal with Shanghai Electric.
According to details, the plan was approved during a meeting today between K-Electric representatives and Chief Minister Sindh Syed Murad Ali Shah.
The sources said that as per the plan, the power company will collect taxes through its bill sent to consumers, making it possible for the company to recover Rs2 billion monthly dues from the provincial government, removing a major obstacle in K-Electric’s deal with Shanghai Electric.
The Sindh government has agreed to the mechanism and the electricity bills would include fire, and conservancy taxes collected by the Karachi Municipal Corporation (KMC).
Read More: SHANGHAI ELECTRIC UNVEILS $9 BN BUSINESS PLAN FOR K-ELECTRIC
The sources in lone power supply company in Karachi said that the Sindh government was in debt of Rs50 billion to the power utility and recoveries from the various sectors are the main obstacle in finalizing a deal with Shanghai Electric.
“Even the SSGC has to pay Rs100 billion to the power company,” they said.