Sindh government’s taxes will be collected through the K-Electric’s electricity bills after the provincial authorities were unable to clear dues of the power utility, removing a major problem in its deal with Shanghai Electric.

The development was permitted during a meeting today between K-Electric councils and Chief Minister Sindh Syed Murad Ali Shah.

The power company will collect taxes through its bill sent to consumers, making it possible for the company to recover Rs2 billion monthly dues from the provincial government, removing a major difficulty in K-Electric’s deal with Shanghai Electric, claimed the sources.

The Sindh administration has decided that the electricity bills would comprise fire, and conservancy taxes collected by the Karachi Municipal Corporation (KMC).

The Sindh government was in debt of Rs50 billion to the power utility and repossessions from the numerous sectors are the main hindrance in confirming a deal with Shanghai Electric, stated the sources in the lone power Supply Company in Karachi.

“Even the SSGC has to pay Rs100 billion to the power company,” they said.