Nepra imposes fine of Rs26 million on Hesco

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has imposed a fine of Rs26 million on the Hyderabad Electric Supply Company (Hesco) on account of a transformer blast in Latifabad, Hyderabad in which 10 people lost their lives and around 12 received injuries.

Nepra upon receipt of reports of the incident constituted a three-member investigation committee under Section 27A of the Nepra Act 1997, which investigated the matter in detail by visiting the site of the incident, recording statements of the residents, inquiring the relevant officials/officers of Hesco, conducting analysis of the damaged transformer, visiting manufacturer of the blasted transformer and presented a detailed report to the authority.

The report revealed a total of 10 fatalities, which included one Hesco’s employee and nine persons from general public and 12 injured persons. Therefore, the authority issued a show-cause notice to Hesco under Section 27B of the Nepra Act, 1997 and later provided an opportunity of hearing to Hesco.

Based on the evidence available on record, the submissions of Hesco and relevant provisions of the laws, rules and regulations; the authority concluded that Hesco has failed to discharge its statutory obligations in maintaining safety standards as laid down in the relevant laws, code and manual.

The authority has; therefore, imposed a fine of Rs26 million on Hesco. It has also noticed that Hesco has given compensation of Rs3.5 million to the family of its deceased employee who lost his life in the incident; however, the compensation of Rs0.75 million has been given to the families of nine deceased persons from the general public.

The authority has; therefore, directed the Hesco to compensate the families of the deceased from the general public equal to the amount given to its deceased employee’s family (Rs3.5 million) and documentary evidence of the same would be shared with the authority.