Senate Orders Recovery of Rs. 2bn in Dasu Grid Scandal

The Senate Standing Committee on Economic Affairs has exposed severe negligence in the nation’s power sector. Senator Saifullah Abro chaired the meeting to review multilateral-funded projects. The committee revealed that delays in the Dasu–Islamabad Transmission Line Project could cost the national exchequer approximately Rs. 2 billion daily.

This staggering loss will occur if the transmission network remains unfinished once the Dasu Dam becomes operational. Consequently, the Chairman highlighted the absence of a No Objection Certificate (NOC) from the Khyber Pakhtunkhwa Provincial Government. He directed authorities to invite KP officials to the next meeting to resolve right-of-way issues immediately. Furthermore, the committee ordered that tower erection work must start on available sites to prevent cost escalation.

Financial Irregularities & Recovery Orders by The Senate

The committee raised serious concerns regarding a specific payment of Rs. 2.11 billion. Authorities paid this amount to a contractor as sales tax for the 765kV Dasu–Islamabad Transmission Line Grid Station (Lot-IV). However, the money remains unrecovered.

The Power Division claimed an audit termed this payment a mere “procedural irregularity” and recommended settlement. The Committee strongly rejected this claim. They questioned the audit’s authority to override Senate recommendations.

Therefore, the Chairman issued strict directives:

• The Secretary Economic Affairs Division (EAD) must write to the Prime Minister detailing these findings.
• The matter goes to the Public Accounts Committee for immediate recovery.
• The Auditor General of Pakistan must take strict action against the audit officers involved.

Solar Project Corruption & Administrative Action

The meeting also scrutinised the World Bank-funded Sindh Solar Energy Project (SSEP). Members highlighted reported misappropriations. Currently, the Anti-Corruption Establishment is conducting a forensic audit on the Sindh Cabinet’s orders. The Chairman demanded details of tax amounts paid to the contractor within two days.

Administrative discipline was a major theme. The Committee expressed “strong displeasure” over the Secretary of Power’s absence without notice. Additionally, regarding the ADB-financed ACSR Bunting Conductor (Lot-II), the committee ordered the immediate suspension of the concerned officer pending an inquiry.

Finally, the committee deferred the agenda on the delayed Balochistan projects. They decided to discuss these matters directly in Balochistan for better deliberation. The Power Division must also brief the committee on electricity overbilling in the next session.