Oil mafia blamed for ‘blocking’ wind power generation

The News 16 September 2013 ISLAMABAD: The Fauji Fertilizer Company Energy Limited (FFCEL) has put 50 Megawatt power into the National Grid, generated through windmills, and it is prepared to venture for further power generation by renewable resources, but some lobbies are creating hindrances in its way. It is understood that the oil mafia is creating stumbling blocks but the FFCEL is fully geared up for further efforts. The company believes that the country’s economy could be turned around through renewable resources of power generation like wind and solar in less time that could be consumed on the other projects. Former defence secretary Lt-Gen (retd) Naeem Khalid Lodhi, who is currently the FFCEL managing director, in an exclusive chat, told The News here that he wouldn’t offer comment on the so-called obstacles in the way of renewable power generation resources, but Pakistan is hardly using any of these resources, and it’s the high time to start making use of these resources to cater the energy needs. He claimed that considering the countrywide energy crisis and depleting domestic resources, the FFC has emerged as a leader in developing the wind resources as its subsidiary, the FFC Energy Limited, developed the first and signature wind power project of the country after going through all thick and thin. “Pakistan currently faces serious energy crisis. The supply of electricity falls well below the demand. Its indigenous resource of natural gas is fast depleting. As a result of this, Pakistan will have to pay a higher price for its energy imports resulting in circular debt, severe loadshedding, electricity price hikes, increasing unemployment and towering collected in the head of the deemed duty in Escrow account. The Escrow account was meant to be jointly operated by Finance Ministry and the amount shall be available exclusively for up-gradation of refineries. According to the officials at the Ministry of Finance, the oil refineries are not inclined to deposit the said amount in the Escrow account and are in a defiant mood. “The oil refineries are fleecing Rs8.41 on one liter of diesel as deemed duty and we have written a letter asking them to enforce the decision of ECC.” The News has repeatedly contacted the oil companies advisory council (OCAC) – a forum that represents the oil refineries and oil marketing companies (OMCs), but OCAC remained unmoved over the question as to whether the government has written a letter for compliance with the ECC decision or not.The OCAC also remained silent when it was asked why the refineries are not ready to deposit Rs9 billion in Escrow account.