Lahore Electric Supply Company (Lesco) has geared up in its campaign for the recovery of as much as Rs 14.33 billion due from several government ministries and departments due to reported delay in payments. Currently, under the leadership of Lesco Chief Executive Officer (CEO) Engineer Shahid Haider, the company has added a recovery process to its overall business, and it has targeted the options to recover money from the public sector organizations that have yet to clear their bills.
Recoveries in the Private Sector is in Progress
One of the Lesco senior officials disclosed on Wednesday that the company has been undertaking a massive recovery exercise in the last 346 days. This campaign began by focusing solely on the private sector defaulters but has now extended it to the government departments that have been making late payments.
The Lesco spokesperson stated that ‘Lesco has already published a comprehensive list of defaulting government entities’. The Chief Executive Officer, Shahid Haider, has ordered the officers to extract the recoveries from the public sector in the same manner as from the private sector.
Government Departments in Debt
As stated by Lesco, many governmental departments have a lot of money they owe to other parties. The following is a breakdown of the dues:
- Town Municipal Administrations (TMAs): Rs 5.999 billion
- WASA Lahore (Water and Sanitation Authority): Contravir Rs 4.1 billion
- Punjab Irrigation and Power Department: Rs. 636 million
- Police Department: Rs 555 million
- City District Government of Lahore: Here the NERPA was implemented in securing Rs 454 million
- District and Tehsil Hospital Lahore: Bid total: Rs. 432 million
- District Government Kasur: Rs 352 million
- Lahore Development Authority (LDA): Of the amount Rs 237 million
- Parks and Horticulture Authority: Rs 227 million
- Punjab Prisons Department: Rs 216 million
- Lahore Ring Road Authority: Rs 209 Million
- Mayo Hospital Lahore: Rs 179 million
- Pakistan Railways: Rs 440 million
- PWD Department Pakistan: Rs 96 million
- Cabinet Secretariat: Rs 79 million
- Geological Survey of Pakistan: Rs 57 million
- Pakistan Administrative Staff College: Rs 33 million
- SE Buildings WAPDA House: Rs 33 million
Measures Being Taken to Recover the Amounts
From the top management of Lesco, there is a proactive approach in making sure that all the officers in charge of recoveries in the public sector strictly follow the deadlines set. Measures like legal proceedings and cutoff of electricity services are available options to ensure the above-mentioned departments clear their amount receivable.
This exercise of recovery is important for Lesco to attain financial health in the delivery of electricity services to customers.
FAQs
Q1. Why is Lesco targeting government departments for recovery?
A1. Lesco is owed Rs 14.33 billion by various government institutions, so it is necessary to repay these debts for the balance of finances.
Q2. How long has Lesco been working on collections from the defaulters in the private sector?
A2. What the company failed to tell its creditors and the public in general is that Lesco has been very aggressive in the collection of dues from private sector defaulters for the last 346 days.
Q3. Which department spends most of their budget on Lahore Electric Supply Company?
A3. The Town Municipal Administrations (TMAs) have the highest outstanding figure, pegged at Rs 5.999 billion.
Q4. What can Lesco do when the government departments do not pay?
A4. Legal action is another way that Lesco can adopt by suing the defaulting customer, while another action that Lesco can undertake is disconnecting the electricity supply.
Q5. How much is WASA Lahore indebted to Lahore Electric Supply Company?
A5. The WASA Lahore needs to pay Rs 4.1 billion to Lahore Electric Supply Company.
