Supreme Court of Pakistan's verdict on Rental Power Project Corruption [UrduTranslation]

7/29/2019 Supreme Court of Pakistan's verdict on Rental Power Project Corruption [UrduTranslation]

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1003-9/010 7734-G/2009

56712/2010

Amicus Curiae

NEPRA

1


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PEPCO/GENCO's WAPDA & M/o W&P

PEPCO SML PPIB

NPCCG.M CE WPPO

GM WPPO

CRRO, WAPDA Khi

DD, CRRO CFO

DM, LPGCL FD, LPGCL CEO, LPGCL

CEO, GENCO-III

2


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&

Young Gen Power

1-4, 14-17 & 21-24 26-28 & 31

2011 12-14

2 8-9-2009

3


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26-09-2009

GENCOs

16/08/2006 ECC 135/9/2006 (ECC)

3

21-10-2010 3100/2010

(PPIB) 1994 4

16-12-1997

1997

(xi) (vi) 1997 2 1997

1984 1998 (xxvi) PEPCO

4


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(DISCOs) (NTDC)

5 () ( )

( ) ( ) 1984 /

( )

6

1997 1997 31

( )

) 3 1997 7

7 1997

(1)

(4) (2)

a b

5


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c d

e f g

(1) (2) 3

(a (b

(c

(d

e f 4

5

6

20 15,16 1997

1997 2005

IPPs

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RRP .8

"Solicitation For Fast Track IPP and Rental Power Projects through

International Competitive Bidding"

14-05-2008 59/08/2008 19478MW

2009 PEPCO

2009 18110MW 14686 17102MW 12074MW

ADB 2010-2013

2009 9 ADBP

ADBP 7.5%2013 8.1 2009

2010 21838

2011 23476

2012 25185

2013 26978

2008-2009

RPPs 2010 ADBP

ADBP 2009

7


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14.05.2008 Presentations

1973 2006 RPPs

10

24

11

2004 2002

(5) (13) 34 48 2007

355018641100 2962 (6) (10)

2007

2005

LOIs

9476 MW

(2590 MW 13591231 (7) (7)

12066MW (9476+2590) LOIs

12

8


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IPPs GENCOs

06.10.2010

:

" 2009

"

"

" www.pepco.gov.pk

16-03-2012 1 2 3

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4 5

6

10


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1994 2012 2010

3

11


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1 1994 2012 2010

3 2

12


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2

320072003 1

1 2

3

4

2008003 5

6 20082002

2002 7

500 8

1

13


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2010 2 19-05-2011 3

CPPA WPPO 42011 2010 2011

5

ADB

GENCO

20122008 PEPCO

2009

20122008

PEPCO

14


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13

ADB 2008

PEPCO IPPsGENCO PEPCO RPPs IPPS 16.03.2012

IPPS 2009-2010

PEPCO2009

1519MW PEPCO

RPPs

15


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RPPs WAPDAGENCO'SPEPCO 14 RPPs

RPPs 16 .08 .2006

ECC-135/9/2006 " "

ECC

6

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NPGCL (i)

5 / (ii)

(iii)

NPGCL/ 6 8

16 (F)

ECC

ECC

10-09-2008

RPPs IPPs a. Proposals for rental power plants would be based on dual fuel (Gas

and RFO)/single fuel RFO and would be implemented in shortest

possible time.

b. Rental Power Plants would be arranged for a period of 3+1 years.

c. Efforts would be made that the tariff of rental power plants is lower

than the tariff allowed to IPPs based on similar technology for their first

ten years.

d. Mandatory storage of oil for rental power plants would be for ten

days.

e. PEPCO would revaluate the sites for the rental power plants on the

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basis of space for oil storage, transportation of oil to the site,

environmental aspects and power evacuation etc.

f. PEPCO would prepare a mid term revised forecast for demand and

supply of power and PPIB would provide necessary input/data to

PEPCO in respect of prospective IPPs.

g. Secretaries of Finance and Water & Power along with Managing

Director, PPRA would review the mechanism of procurement to ensure

that future delay is avoided and Public Procurement Rules, 2004 areobserved in letter and spirit.

ECC RPPs PEPRA

Public Procurement

Rules, 2004

2A 29 15

14 9 (PLD 2010 SC 1109)

(Constitution Petition No. 50/2011)

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(PLD 2010 SC 759 (PLD 2011 SC SMC NO. 13/2009

(PLD 1994 SC 693) 619) 16

27-03-2008 2009 2200MW Fast Track Power Generation Projects

Balco Employees Union (Regd) Union of India (Air 2002 SC 350)

(PLD 2006 Sc 697)

57

Messrs Elahi Cotton Mills Ibid Balco

Employees Ibid

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Trail & Error Trail & Error

Elahi Cotton Ibid Associated Provincial Picture Houses Ltd 58

Loard

Somerrell

Nottinghamshire County Council v. Secretary of State for the

Environment [(1986)

1947

Statute

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Wednesbury Sense

Lord Diplock's speech in Council of Civil Service Unions v. Minister for

the Civil Service [1984] 3 All ER 935, [1985] AC 374."

Peter Cau's "An Introduction to Administrative Law"

PSMC

Iqbal Haider v. Capital Development Authority (PLD 2006 SC 394),

Pakistan Steels (PLD 2010 SC 759), HRC No. 4688/06 (PLD 2001 SC

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619), Ramana Dayaram Shetty v. International Airport Authority of

India [(1979) 3 SCC 489]; Tata Cellular v. Union of India [(1994) 6 SCC

651] = (AIR 1996 SC 11); Raunaq International Ltd. v. I.V.R.

Construction Ltd. (AIR 2004 SC 4299) = [(1999) 1 SCC 492]; Air India

Ltd. v. Cochin International Airport Ltd. [(2000) 2 SCC 617]; Reliance

Energy Ltd. v. Maharashtra State Road Development Corp. Ltd.

[(2007) 8 SCC 1] and judgment dated 24.08.2009 of the Andhra

Pradesh High Court in Nokia Siemens Networks Pvt. Ltd. v. Union ofIndia.

.17

TOOL COMPAY VS. NORRIS [69 U.S.(2 Wall)

45 (1864)]

Airport R.D. Shetty v. International Nagar Nigam, Authority of India (AIR 1979 SC 1628).

22


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Meerut v. Al Faheem Meat Exports (Pvt.) Ltd. [(2007)1 Supreme 704]

/

14

Raman Dayaram Shetty vs. The international Airport Authority of India (AIR 1979 SC 1628)

Ram & Shyam Co. v. State of Haryana (AIR 1985 SC 1147),

/

Haji T.M. Hasan vs. Kerala Financial Corpn. (AIR 1988 SC 157)

ALSTOM AT / BHAKKI

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14.05.2008

200/300 B

MW

14% 7%

.18

2002 19

24


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Public Procurement Rules 2004 PEPRA

RPPs

McManus v. Fortescue [(1907) 2 KB 1]

PPIB

RFP

200MW

Solicited Unsolicited RPPS

RPPS

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Status

COD

RPP

26


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27


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RPPsNTDC/CPPA 20 NTDC/CPPANEPRA

NEPRA/R/PAR-11/CPPA-2006/6213-15 2 7 - 0 7 - 2 0 0 6

09-10-2006 NEPRA/R/PAR-11/CPPA-2006/6920-22 NPGCL RPPsCPPA

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NEPRA's App l i ca t i on NPGCL i Modification Regulations 1999

CPPAPPA NPGCL ii NPGCL iii

NEPRANPGCL RPPS, RSCs

GENCOs PEPCO 21 2006 M/s General Ekut Power 136M/S Afstom

M/S Afstom 150 17-1-2007

"BHIKKI POWER PROJECT

Place: Bhikki, District Sheikhupura

Capacity: 136MW (gas based)

Rental term: 36 months

Contract amount: USD 103,015,476

Mobilization Advance: USD 7,211,083

Agreement date: 18 September, 2006

Rental revenue received: USD 68,024,477

Rental revenue loss: USD 34,990990

Date of Assignment 17 January, 2007

Effective Date 23 February 2007

COD Scheduled 23 June 2007

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AchievedUnit III 19 December, 2007

Unit II 22 January 2008

[Unit I 02 April 2008]

Expiry of Agreement: 22 June 2010"

ECC16-08-2006 22 150ECC-135/9/2006 dated 16-08-2006

ECC

Case No.ECC-135/9/2006Dated: 16.08.2006

150 MW POWER PLANT ATPIRANGHAIB MULTAN ON

RENTAL BASIS

150 2006 12

Proposal

vide letter 26-08-2006 No.PL-9(3)/2006.

NGPCL 23 130 150

15-12-2006NEPRA NEPRA/TRF-63/NPGCL-2006/7951-53

Decision of the Authority w.r.t. Tariff Petition filed by "Subject:

Northern Power Generation Company Ltd. (NPGCL) for Determination

of Tariff for Power Plants on Rental Basis from GE Energy/Alstom

Power (Case No.NEPRA/TRF-63/NPGCL-2006)- Intimation of Decision

of Tariff pursuant to Section 31(4) of the Regulation of Generation,

Transmission and Distribution of Electric Power Act (XL of 1997)

Dear Sir,

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Please find enclosed the decision of the Authority (4 pages) in Case

No.NEPRA/TRF-63/NPGCL-2006.

2. The determination is being intimated to the Federal Government

for the purpose of notification of Generation, Transmission and

Distribution of Electric Power Act (XL of 1997) and Rule 16(11) of the

National Electric Power Regulatory Authority Tariff (Standards and

Procedure) Rules, 1998.

3. Please note that only Order of the Authority at para 9 of thedetermination relating to the Reference Tariff and allowed adjustments

& indexation needs to be notified in the official gazette. The Order is

reproduced for the purpose of clarity and is attached herewith.

DA/AS above.

Sd/- 15.12.2006

(Mahjoob Ahmad Mirza)"

2005 1.10 1.9 Charges

ECC07-02-2008 IPPs Tarrif RPPs

IPPs RPPs 1.9 a

b1.9 bidding 1.10 NTDC PPIB

Levelized PPIB

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24 2.7194/KWH

(18.63 billion) 2.161 NPGCL(GENCO- I I I ) II I 2009 2007-2008

25

32


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NPGCL ALASTOM BIKKI 150MW GE 92% 26% 39% 816MKWH 1515

C C P CCP-FOM Charge (Rs/KW/Month) (Rs/KW/Month)

RPPs NGPCL

Public Exechequer RPPs

17/08/2009 ECC 26

RPPs

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ECC 4 Sovereign GuaranteeGOP IPP (i)

14%

5 Unsolicitated Project473MW (ii)

20/04-2010 CPGCL II-

RPP 6/4/2010 14%

II-

II-

27

72.48 7% 14% 10.15

12/03/2009 7% 17/03/2008 MS Welfare Power International6/04/2010 14%

GENCOs 14%

GENCOs: 8/12/2010

(PPR) 7/12/2010 (i)

8/12/2010

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GENCO (ii)

GENCO

28Karkay-II ADB's

CODNEPRA 222 MW RSC LOA

RPP II LOA GENCO

Karkay-II

Walter Power International Naudero-I 29 51 MW 2009 16 11.26 US $ 14 80.42US $US $ GENCO (CPGCL) COD

255,000 PPRA RPPS 30

2006 WAPDA

RPPS

Sr.ASC 31

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ECC Naudero-I

ICB

1997 7 NEPRA Cost-plus Sr.ASC

32 CPGCL PPR WPI

WPIs Naudaro-II COD WPI Naudero-II 10.03.2011 GENCOS (CPGCL) NEPRA

Naudero-II WPI

COD

CPGCL

Austria GEP WPI

PEPRA Naudero-I ICB 42(C)

RPPs ASC 33

42(3) RPPs Naudero-I 7 NEPRA

ICB PPR

COD CPGCL

CPGCL/NEPRA

RPPS

36


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34 PPRA PPRA ECC

ECC

ECC PEPRA PEPRA 17.03.2009 ECC

PEPRA

: 42 (C PPRA (Procurement)

"42. Alternative methods of procurements.- A procuring agency may

utilize the following alternative methods of procurement of goods,

services and works, namely:-

(c) direct contracting.- A procuring agency shall only engage in direct

contracting if the following conditions exist, namely:-

(i) the procurement concerns the acquisition of spare parts or

supplementary services from original manufacturer or supplier:

Provided that the same are not available from alternative sources;

(ii) only one manufacturer or supplier exists for the required

procurement:

Provided that the procuring agencies shall specify the appropriate fora,

which may authorize procurement of proprietary object after due

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diligence; and

(iii) where a change of supplier would oblige the procuring agency to

acquire material having different technical specifications or

characteristics and would result in incompatibility or disproportionate

technical difficulties in operation and maintenance:

Provided that the contract or contracts do not exceed three years in

duration;

(iv) repeat orders not exceeding fifteen per cent of the originalprocurement;

(v) in case of an emergency:

Provided that the procuring agencies shall specify appropriate fora

vested with necessary authority to declare an emergency;

(vi) when the price of goods, services or works is fixed by the

government or any other authority, agency or body duly authorized by

the Government, on its behalf, and

(vii) for purchase of motor vehicle from local original manufacturers or

their authorized agents at manufacturer's price."

35 RPPs

RPPs

GENCOs PEPCO

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NEPRA NEPRA 36

1997 7 2006

RPPs NEPRA 37 NEPRA reference tariff

IPPs

1.10 1.9 371997

(a)(3)7 1997

1997 (6)7

1997 (17)2 31 1997

(6) 17 (2)

RPPs RPPs

I-

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1997

9 38 RPPs

II- I-

COD RPPs II-

(201 MW 51 MWI- (62 MW)(231.8 MW) COD

7%

COD

39Pakistan Power Resources, Guddu; Pakistan Power Resources,

Piranghaib, Multan; Techno, Sammundri Road, Faisalabad; Techno

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Project, Sahuwal, Sialkot; Young Gen, Faisalabad; Gulf Rental Power,

Gujranwala; Independent Power Limited; Kamoki Energy Limited;

Karkey Karadeniz, Karachi (Karakey-I); Premier Energy; Reshma

Power Generation, Manga-Raiwind Road; Ruba Power Generation,

Manga-Raiwind Road; Sialkot Rental Power, Eminabad; Walter Power

International, Karachi; Abbas Steel; Karkey Karadeniz, Karachi (Karkey

II); Techno-E-Power (Pvt.) Limited, Sammundri Road, Faisalabad-II;

Walter Power International, Naudero-I; and Walters PowerInternational, Naudero-II

40

ECC 2009-2010

Unsolicted

121/15/2009

41THIRD PARTY EVALUATION BY ADB

ADB

RPPs ADB

6 RPPs (1257mw) RPPs 8

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5 RPPs 9 19 ADB 27.01.2010

ECC

RPP

ECC

42


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RPPs SOLICITED RPPs

DISCUSSION OF EFFECTIVE RPPs

GUDDU (1)

07.07.2007 110 mwM/s Pakistan US 30

Power Resources (PPR) and M/s Progas Pakistan Ltd. (PPL) 30 0 3 . 1 1 . 2 0 0 7

11.11.2007(1) Capacity of 100 MW was changed to 100-125 MW with minimum

efficiency of 33%.

(2) Period 2 years was changed to 2, 3 or more.

(3) Eligibility condition of having similar experience for minimum of 3

locations was removed.

(4) Condition of depositing Security of Rs. 10 M or $ 0.17 M, was

deleted.

(5) Condition of Penalties for non-availability, delay in installation &

commissioning or variation in heat rate, was deleted.

(6) Condition of providing Operational Guarantee worth 10% of Base

Load Operation Cost for 2 years by the bidder was deleted.

(7) Process of price evaluation was changed.

(8) Bidder's responsibility to the extent of Operation and Maintenance

of equipment and Trouble free base load supply of electricity was

eliminated.

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(9) Bidder's responsibility to the extent of Transportation of equipment

to and from the site was eliminated.

(10) Guarantee for providing 92% of gas fuel was provided.

11.11.2007 0.17 10

01.12.2007 30.11.2007

12 10.12.2007

M/s Progas Pakistan Ltd., (a)M/s Pakistan Power Resources, and (b)

M/s Pak Oman Investment Company Karachi. (c)

01.01.2010 "On the basis of evaluation criteria, the bid offered by M/s Progas

Pakistan Ltd. as Option-I (125 MV) is lowest in tariff, on the basis of

Lump sum Contract Price, Rental Charges and Fuel Cost Component.

"Only M/s Pak Oman Investment Company qualifies the minimum US$

30 million Net Worth, while others do not.

"M/s Progas has offered 125 MW at reduced load operation, with other

option of 135 MW at full load offering an incentive in Rental Rates.

"Rental Service Contract may be awarded to M/s Progas Pakistan Ltd.

for installation of 135 MW net capacity on three rental years against

their guaranteed availability at 92% on gas fuel at proposed site of

TPS Guddu at 132 KV level.

In this connection, it is proposed to relax minimum criteria of US$ "

30 million Net Worth.

03.02.2008 M/s Pakistan Powe Resources

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"Based on rental charges & guaranteed heat rates offered by the

bidders, the overall cost (US Cents 7.640 per kWh) offered by M/s

Pakistan Power Resources is lower as compared to the offer (US

Cents 7.974 per kWh) of the next higher bidder.

"The rental value offered by M/s Pakistan Power Resources, at (US

2.717 per kWh) was 13%, which was lower than that of the rental (US

Cents 3.133 per kWh) for units of GE at Sheikhupura and PPR at

Bhikki, already in operation."A penalty clause be included in the contract agreement to penalize

PPR for failing to achieve the specified/required COD.

"It was unanimously agreed that offer by M/s Pakistan Power

Resources was the best offer and was accordingly approved. LOA may

be issued and the matter submitted to PEPCO, BOD for ratification.

150MWM/s PPR 06.08.2008 M/s PPR 11.03.2008 Payment Pakistan 23.02.2008

Power Resources, LLC and Central Power Generation Company Ltd.

11.12.2008 (CPGCL)

"Changes were made in the mode of payment through LC.

"The CPGCL have no right to cancel the contract within initial 8

months.

"In case of termination of the agreement by CPGCL, the buyer shall be

entitled to outstanding rent of 36 months.

"Maximum drawdown on SBLC during any one calendar month will not

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exceed a sum of US$ 1,872,466.

05.03.2009

"Requirement of confirmation of SBLC by a Financial Institution in UK

or USA in terms of clause 4.5(d) was waived.

"The seller waived the right to call the SBLC on account of defaults of

the Buyer, which had occurred prior to issuance of SBLC.

"Amount of SBLC as mentioned in section 4.5 was reduced from 93%

(US$ 67,408,766) to 86% (US$ 62,334,988) of the contract price."Down payment was increased from 7% to 14 %.

"Some amendments were made in the capacity/operation of Units.

2

11-10-07

RPP

250-300

43

24-10-07

29-10-07 22-11-07 7-11-07

RFO

RFO 192MW (net)

S50MC-C7MN B & W

RFO GE 11-12-07 Evaluetion Committee

(1) 04-01-08

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17-03-08

150MW RPP 192 MW

Award 24-03-08RPP

14-09-10 RSCs

CMA 3992/11

4 5(vi) 201014 1 CPGCL

1001, 771/- PPR 2

(b)

451,746

(a)

(d) 77143/- (c) 5328/- 200,000 (e) 267,494

NGPCL 44

2(g) Contract Act, 1872

"Contract"

ICB "Unsolicited"

ICB PPR, 2004 Contract

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12 2004 1 i

PEPCO ii RPP, 250-300MV 2

NPGCL 4.S(a) 311-06-09

4.5(a) 4

36 Letter of Credit 4.5 (C) 5

24-11-09 Rental Services fee payments SBLC

COD LOA 6

PPR 11,550,000 14,584,990

"Letter of Credit"

PPRs 1997 7

Capcity Cahrges

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Capcity NEPRA13-04-09 Charges

45.

NPGCL PEPCO

/ (3)

(NPGCL)

50

46.

11.10.2007 30

RFO 88% 15.05.2008

" 24.10.2007 / 47. 11.10.2007 "

07.11.2007 / 29.10.2007 04.11.2007 03.11.2007

(Supply of 20 21.11.2007 SSA sample)

-

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- 01.01.2008

RFO Option -I (MAN B&W)

Fuel cost component PEPCO

RFO 60%

30

15.05.2008

1.93

150 MW 132 KV Rental Services Contract

(LOA) 22.01.2008

Advance 22.01.2008 LOA

Sample rent Agreement 14.02.2008 14.02.2008

Sample rent agreement 14.02.2008

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ADB

KARKEY KARADENIZ ELEKTRIK (4)

PPIB 200 MW 48 17.05.2008 ICB

Walters Power International Karkey Karadeniz Elektrik Uretim A.S RSC 21.10.2008 (Tariff) RFP

12.05.2009 US$ 79.05 Million 05.12.2008 07.04.2010 08.12.2009 14.08.2009 COD RSC

23.04.2010 RSC PPIB 49

Fuel cost Component

Karkey Karadeniz 20.05.2010

"Venture into Secure, Profitable & Promising Power Sector of Pakistan

INVITATION FOR BIDS

1200 MW Fast Track Private Power Projects

"Package B:

Rental Power Project(s) of 200 MW cumulative capacity

near Karachi.

Capacity:

Rental power project(s) including barge-mounted plants of 200 MW

cumulative power generation capacity can be offered by the bidder(s).

One or more project proposals/bids will be considered, until the limit of

200 MW is attained.

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Fuel/Type:

The bidders may offer projects of any multiple fuel (Residual Fuel

Oil/Gas/Liquified Natural Gas/Liquified Petroleum Gas), technology

and type.

Near Karachi Site:

Project commissioning:

Project(s) are required to be operational within six (06) months from

issuance of Letter of Award (LOA).Term of Project(s):

The term of the project(s) would be 3-5 years.

Project Agreement:

The project agreement/contract for these projects would be in

accordance with those earlier executed by PEPCO for Rental Projects.

Evaluation Criteria:

For evaluation of bids and award under this package, similar approach

as that for Package-A would be followed, until cumulative capacity of

200 MW is reached.

Bidding Process Roadmap:

"The interested party/parties will be registered with PPIB after paying

US$ 100 (or Pak Rs. 7000) for each Package and purchase Request

for Proposal (RFP) after making a non-refundable payment of US$

2,000 (Pak Rs.140,000) for each Project. The registration process and

sale of RFP will be completed from 20th May to 19th June 2008.

"The interested party/parties will submit complete bid in accordance

with the RFP along with a refundable Bid Bond @ US$ 1,000 per

megawatt (MW) of proposed Gross (ISO) Capacity of the Project and

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non-refundable bid evaluation fee of US$ 20,000.

"Payments to be made through Demand Draft/Pay Order drawn in

favour of PPIB, payable at a bank branch in Islamabad Pakistan or

through wire transfer.

"PPIB reserves the right to reject any or all bids without assigning any

reason thereof."

Fuel cost component

XII & XIII M/s Karkey XII/XIII- "ANNEX - B

Attachment 12 to the Bid Letter

Proforma XII

Bidder's Offered Reference Tariff Table

Rental Power Project

Reference Tariff Table for Ranking Purpose

Fuel Year

Rental Rate ( per kWh) x 1.2

Total ( per kWh)

( per kWh)

18,6288 6,3500 10,2323 x 1.2 1.

18,6288 6,3500 10,2323 x 1.2 2.

18,6288 6,3500 10,2323 x 1.2 3.

18,6288 6,3500 10,2323 x 1.2 4.

18,6288 6,3500 10,2323 x 1.2 5.

Note:

1.The calculation of Fuel Cost Component and Rental Rate will be

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made according to the Proforma XIII

2.For conversion of Fuel Cost Component from Pak Rs. To US Cents,

the conversion rate of 1 US$ = 62 Pak Rs. Shall be used."

"Attachment 13 to the Bid Letter

Proforma XIII

Pricing - Lump Sum Rental Charges, Rental Rate and Reference Fuel

Cost Component

a)Pricing - Lump Sum Rental Charges for 60 Months Rental Term.

Year Fuel (per kWh) x

1.2

Rental Rate ( per KWh) Total (per kWh)

1. 10,2323 x 1.2 6,3500 18,6288

2. 10,2323 x 1.2 6,3500 18,6288

3. 10,2323 x 1.2 6,3500 18,6288

4. 10,2323 x 1.2 6,3500 18,6288

5. 10,2323 x 1.2 6,3500 18,6288

XIII Rental Rate Fuel Cost Component 1

62 Fuel Cost Compoenent 2

"Attachment 13 to the Bid Letter

Proforma XIII

Reference Fuel Cost Component - - 54


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60 (a)

b) Rental Rate

The Rental Rate 6,3500 US Cents/kWh based on the Lump Sum

Rental Charges given in the Table above is calculated using the

following formula:

Rental Rate (Cents/kWh) =

Lump Sum Rental Charges in US Dollars x 100

Net Capacity in MW x 1000 x Rental Term in years x number of hours

in year x Guaranteed Availability

Where:

Net Capacity of Rental Plant: 231.8 MW (net) at Mean Site Conditions

Guaranteed Available of Equipment: 93%

No. of Hours in a year: 8760"

value

Per kwh

50

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13/04/2009 NEPRA 60,000 10

Independent Power (pvt.) LTD Eminabad 5 PPIB 50 MW RPP100 MW IPP 51

26/09/2008

(a) Alstom Power Rentals for 200 MW project near 220 KV

Ludewala - Sargodha Grid Station

(b) Gulf Rental Power for 80.5 MW project adjacent to 132 Kv

Eminabad - Gujranwala Grid Station

(c) Independent Power Pvt. Ltd. for 220.97 MW project near 132 KV

Gojra - Faisalabad Grid Station

Letters of Award (LOA) 20-12-2008 PPIB 13/04/2009 NEPRA

Commercial Operat ion Date 19/09/2009 29-04-2010 31-12-2009 (COD)

ICB 24-01-2009 52

Fast Track Rental Power Project 18-02-2009

PPIB IPPs (iii) NEPRA

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(a)analysis of life-cycle investment

the projects

ICBIPPs RFP (b)

NEPRA (c)

ICB RPPs 24-01-2009 PPIB 53 NEPRA

NEPRA20-02-2009

Fast Track Projects (i)

PPIB IPPs (ii)

Rental Tarrif GOP (iii)

13-04-2009 NEPRA Section NEPRA

NEPRA 31(2)(a),(c)&(d) of the NEPRA Act

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Consumers

Electric Power Industry

13-04-2009 NEPRA

(i)

NEPRARFP ICB (ii)

NEPRA (iii) 60,000 10 (iv)

27-01-2010 IPL, RSC GENCO

54

/ (i) /

86 3 PRPCO (ii)

3 30 7% (iii)

7% (a)4.5 (iv)

30 30 7%

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7% 30

36 (C) 4.5 (v)

24-11-2009 2 SBLC

11.9 7% 13-04-2009 (vi) COD 19-02-2009 COD 31-12-2009 (vii)

COD 29-04-2009 NEPRA RFO (viii)

/ NEPRA (ix)

6

PEPCO 50 MW 55 I C B P P I B

8 10 23-12-2008 /

14-04-2009 / 55.27 06-09-2009 RSC 29-05-2009

31-12-2009 COD 03-10-2009 NEPRA COD

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/ RPPs / NEPRA 56

NEPRA 10 Sr. ASC

3 40 60 25

/ Unit Cost PE KWH

Gas HSFO (Residual Fuel Oil)RFO RPPs 57 RFO

Rs. 26,000

PFO

Rs. 26,000

RFO

RPPs KWH

I-

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61


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62


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63


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64


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RPPs kWh / NTDC RPPs

58

PEPCO

59231 14.57 48.33 201

7 1997 NEPRA 60

IPPS

RECOVERY FROM SAHUWAL, SIALKOT/SUMMUNDRI ROAD,

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FAISLABAD

RPPs RPPS 61

Techno-E COD Power Shauwal, SialkotTechno E Power Sahuwal, Sialkot-RPP, 150MW ICB

11.55 165 RPP 250-300MW

letter No. CEO/MZG/Rental/13481-84 dated 24.12.2010 7 GENCO RSC NEPRA NPGCL ICB RPP RSC

Techno E PowerPEPCO 7 18.9 14 135

30-10-2009 Tarrif

01-04-09

26-02-2008

COD 30-10-2009 LOA 135 COD 11-06-2010 60MW 30-07-2009 COD

M/s Techno COD NEPRA Power) Shomal Sialkot

RPPs Techno Sahuwal FIA

2011

14-01-2011 62 Techno E Power Showal 17-01-2011

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18-01-2011 300892500/-1701839 781357,500/-171838

GENCO

4781/11 5002/11 63

"Under the circumstances it is most respectfully prayed that this August

Court may graciously be pleased to pass appropriate orders based on

facts mentioned in the body/grounds of instant petition and Site Statusof the plant/machinery submitted by NPGCL and may pass direction to

NPGCL/WAPDA to refund the Advance money with markup received

7% Additional amount as per facts beside payment of remained 7%

Additional amount as per RSC/Amendment and also to comply with

notice of default and to fulfill all terms and conditions of the contract in

order to enable that petitioner company to generate and smooth

functioning of the plant to produce and supply electricity in Public

interest.

Further prayed to Declare that the submitting of false statement

contrary to the facts regarding import of machinery and plant in the

name of NPGCL and storage at WAPDA warehouse at site, is a case

of abuse of official powers and exercise of authority arbitrarily and with

ulterior motives and the concerned responsible of NEPRA succeeded

in obtaining favorable order from this August Court on 13.01.2011

which caused heavy injury and loses to the Petitioner Company and

resulted in heavy Miscarriage of justice and have been prima-facie

guilty of abusing of the process of this Court and are liable to be

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prosecuted."

RPPs 64

TECHNO E Power GENCOS

Techno E Power 65

RECOVERY FROM M/S YOUNG GEN

Ms.

Naudero-II

GUDDU

66

COD 1.26 Young Gen

2006 67

2002 1994

IPPS

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2006 16ECC

150 ECC-135/9/06 192

2008 27

68 1067 PEPCO 2257

1257 ADB

69

PEPCO

70

2.3 Request of Proposal Letter of Award

4.5(a)

36 Standby Letter of Credit

60

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71

PEPRA ENAA, ICE, FIDIC

72 6036 (GENCOs)

Standby Letter of Credit (SBLC) 35% SBLC

2008

11

RSC

SBLC

SBLC

(COD)

26

73

6036 14

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Withholding Tax Witholding Tax GENCOs

20=6+14

RSCs PPIB (LOAs) (RFP) 74 Bidder/Sponsor (2.3) GENCO's

LOA (PPIB) RSC 5.4 5.3

"4.5 Payment Terms and establishment of Letter of Credit-

a. the SELLER is eligible to obtain in advance a Down Payment

amounting to US$ [_______] i.e. 7% of Lump Sum Contract Price

for the Term of the Rental Services Contract (the "Down

Payment"), on submission of a bank guarantee valid until 30 days

after the Target Commercial Operations Date, in a form "A". the

aforesaid Down Payment amount of US$[________]shall be

deducted, in [36-60] equal installments of US$ [_______] each,

from the monthly rent payable to the SELLER by the Buyer. Buyer

shall release 7% Down Payment to be paid within ten (10) Days

after submission of Advance Payment Bank Guarantee by the

SELLER within five (5) days from the date of signing of this

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Contract.

b. The Lump Sum Contract Price as defined in Section 4.1 less

the 7% Down Payment will be divided into [thirty six -sixty] (36-60)

equal installments (the "Monthly Rental Services Fees") . From

and after the occurrence of Commercial Operation Date, the

SELLER shall submit an invoice to BUYER for Monthly Rental

Service Fee payment, on the 15th Day of each Rental Month. Uponconfirmation by BUYER of the amount payable against such

invoice net of any disputed amount, if any, to the operating bank

issuing the 'Letter of Credit' the SELLER shall draw on the 'Letter

of Credit', for such confirmed amount as anytime on 30th Day or

next business Day thereafter, following the Day the invoice is

delivered to BUYER."

6036 7% 75 (PPR)

(LOA) (PPIB) (GENCOS) 7%

7%GENCOS GENCOs GENCOs

(GENCO)(RFP) GENCOs(LOA)

GENCOs (GENCO)

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76 Financial Bill, 2008

49 5-6-2006 SRO No. 567(1)/2006

: Sammundri Rental Power Project (RPP). (1)Reshma Rental Power Project (RPP). (2)

Gulf Rental Power Project (RPP). (3)

Guddu Rental Power Project (RPP). (4)

Naudero-I Rental Power Project (RPP). (5)

Sahuwal Rental Power Project (RPP) (6)

Karkay Rental Power Project (RPP). (7)

Sheikhupura Rental Power Project (RPP) (Re-exported). (8)

Bhikki Rental Power Project (RPP) (Re-exported.) (9)

CED/FED / Rs. 410,169,668/-

Stand By Moblization 7% Letter of Credit

Advance

77 73


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Stand by Letter of Credit Stand by Letter of Credit 7%

SBLC

5 35%

7% SBLC II I 13 RFP

7%+7%=14%

78

RPPs ADB

14%7% ADB Invitation

ensure

14% 9RFPs

(reference value) 14% 79

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RPPs 80

6% Dawn Payment 7%-14%

[Karkey: Rs.35/- to Rs.50/-; Gulf:Rs.18/- to kWh 24 mw120 RPPs Rs.19/- and Naudero-I: Rs.12/- to Rs.19/-, ]NEPRA 7 1997

Consumer NEPRA NEPRA

NTDC

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2008 2006 81 RPPs

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PEPCO,JENCO, 1999

RPPs NEPRA

Rs.8,698.46 811.605mkWh Bhikki RPP 82 13,941.82 1520.420mkWhSharaqpur RPP

RPP 6 9 2008 RPPs

Techno Sahuwal, Guddu, Reshma, YoungGen

Karkey,Gulf and Naudero-II and Techno Sammundri ,

down payment Nadero-I 48.33mwKarkey

51MW 9.16MW 1 231MW 62MW 50.08MW

14.58 PIRANGHAB MULTAN Reshma

201.3MW 15MW

Karkery RPPS Noudero-1 18.19% 35.50%

RPPs 10.9.08 Ecc 12.18% 10 IPPs

120MW RPPs Ecc

KARKEY

RPPs Karkeh

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Sharagpn BhakkiNedro-11 Nedro-1Reshma

6878 Rs.8,689,224000/- 83Rs.445,496,000/- RPPs 224

84 GENCOs RPPs I

IPPs IPPs

IPPs GENCOs II

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RPPs II- I- III

PPRA/ (open competition)

RPPs (void ab initio)

RPPs 9 19 ABD IV COD RPPs 6 9

GULF I- Karki RPPs GULF

PPR COD

RSCs RPPs V CODRPPs

RPPs

7 GENCOs VI

RPPs 14 COD RPPs

RPPs VII

7 1997 61 51 81 31 GULF Karki Rs.18-19 Rs.35-52 1

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NTDC fuel cost component 2011

overhead

Regulation of Generation, Transmission and 24 9 Distribution of Power Act, 1997,

VIII 1997

RPPs 2008 2006 IXDown Payment

1997 249 14% 7% 7

1999

RPPs PPIB GENCOs X

sub-paragraph No.III, IX, X XI

Amicus Curiae 85

MNA 24 9

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Supreme Court of Pakistan's verdict on Rental Power Project Corruption [UrduTranslation]

Documents

Transcript of Supreme Court of Pakistan's verdict on Rental Power Project Corruption [UrduTranslation]