The Federal Secretay,

Power Division,
Ministry of Energy,
A- Block, Pak Secretariat, Islamabad.

Subject: Power Sector Reforms- PPMC versus GHCL

Reference: CEO, GHCL Letter # GHCL/CEO/2021/8299-8303; dated 14th December,

2021

R/Sir,

With respect to reservations of CEO, GHCL vide his letter referred above, the following
relevant facts are submitted for consideration on merit:

1. GHCL has miserably failed to improve the managerial performance of GENCOs despite
having all support, tangible as well intangible, from the line ministry. Almost all assets at
power plants in public sector have been left unattended, perhaps deliberately, by GHCL
since 2015. The decision of closure of many plants is the direct result of years of consistent
mismanagement by GHCL, Islamabad.

2. There was pronounced discrimination of policies at PEPCO and GHCL with respect to
recruitment, transfer, promotion, housing, health, etcetra. This created a heart burning
and concern across GENCO employees in general and line workers in particular.

3. The accumulated losses of GENCOs continued continuously piling up, especially at

GENCO-IV Lakhra, GENCO-1 Jamshoro and GENCO-III, Muzaffargarh despite
financial background of CEO, GHCL, Islamabad.

4. The power division, Ministry of Energy, Govt. of Pakistan have had to sustain huge
expenses and increased losses owing to duplicated functions of two distinct entities of
Managing Agents, i., e., PEPCO and GHCL.

5. GHCL adopted antagonistic and reactive attitude toward NEPRA, CPPA, NPCC and
other other stakeholders which hindered its smooth sailing for the last six or so years.

6. GHCL indulged in malpractices in outsourcing projects, specially at Nandipur and 747

MW Guddu resulting in huge losses in public assets at GENCOs.

7. CEO, GHCL got himself conspiratorially elevated to the position of MD equating

position of CEO, GHCL to that of MD PEPCO's which allowed him extra leverage to
indulge in absolute malpractices, mismanagement and misuse of public resources of
GENCOs by GHCL.

8. The out-of- merit recruitment of BOD Members in GHCL and GENCOs helped in
promoting a culture of napotism and inefficiency that led to the deterioration of
performance and merit in GENCOs.
In view of above facts, it is requested that the the reservation expressed by CEO GHCL
may be treated as personal wish and necessary steps to dispense with GHCL may be taken
forward in the interest of economy, merit and efficiency in management of public assets.

Most respectfully,

(GENCO Officers)
Date: 18. 12. 2021

cc.
1. Prime Minister, Govt. of Pakistan.

2. Chairman Senate Standing Committee on Power, Senate of Pakistan, Islamabad;.