Neelum-Jhelum Surcharge petitions: LHC seeks replies from federal …
Source: Daily Times (Original Article)
LAHORE: The Lahore High Court (LHC) on Thursday issued notices and sought replies from the federal government, Water and Power Development Authority (WAPDA), Lahore Electric Supply Company, and other electricity providing companies. These had been following separate petitions filed on behalf of various industrial units, challenging the levy of additional surcharge in electricity bills for the construction of Neelum-Jhelum Hydro Power Development Unit.
The notices were issued during the hearing of petitions moved on behalf of the Gojra Sugar Mills, Hajra Textile Mills, JK Tech (PTV) LTD, Ashiana Cotton Products and others.
The counsel for the petitioners said that the power supply companies had issued a notification on January 4, 2008, whereby Rs 0.10 per industrial unit had been imposed as an additional charge. This would be charged till December 2015 to create a fund known as Neelum-Jhelum Hydro Power Development Fund.
The petitioners pointed out that the said levy had been reflected for the very first time in the electricity bills for the current month (March 2008) under the head of Neelum-Jhelum Surcharge (NJS). They said that they were industrial consumers of respondent distribution companies and their tariffs were determined by the National Electric Power Regulatory Authority (NEPRA), under the Regulation of Generation, Transmission and Distribution of Electric Power Act XL of 1997, commonly known as NEPRA Act.
The counsel said that no authority, including the federal government, could impose any levy in relation to electricity without having prior recourse to NEPRA, which was not done. The counsel asserted that the levy had been directly imposed, which not only amounted to change in the rate of electricity, but also to change in the terms and conditions of electricity supply.
“The imposition of levy also amounts to taxing while under Article 76 of the Constitution, taxability is to be Business Credit Cards determined by the legislature through act …continue reading