Water and Power Development Authority explains factual position about news of audit paras discussed in Public Accounts Committee meeting

Lahore, December 11, 2015 (PPI-OT): Taking a strong exception to a news item regarding the meeting of Public Accounts Committee (PAC) appeared in a section of press on December 10, 2015, the Pakistan Water and Power Development Authority (WAPDA) spokesperson has said that the matters about audit paras relating to WAPDA have been misreported in the news item.

He said though minutes of the meeting will be issued by the quarter concerned in due course of time, WAPDA’s senior officers, who attended the meeting took notes of the proceedings of the meeting vis-a-vis audit paras about WAPDA.

The spokesperson said that as many as 15 audit paras relating to WAPDA were discussed in the PAC meeting held on December 9, 2015. In order to explain the factual position and keep the record straight, brief description of the audit paras discussed in the meeting and decisions made by the PAC about them are as follows:

Regarding audit para about loss of Rs.95.38 million due to theft of vehicles, electrical and other material, PAC directed to effect recovery and to get the record verified from Audit within 15 days. Regarding audit para about unjustified payment of claims of Rs.244.70 million due to inefficient contract management, PAC directed to submit to the committee the comparison of BOQ rates of 2005 agreed in the contract and the rates of 2010 on which the payment was made to the contractor along with reply, in the next meeting of the committee to be held on December 16 and 17, 2015. Regarding audit para about non-recognition of interest amounting to Rs.114.66 million accrued on loan, PAC directed to get verified the record from Audit within 15 days.

Regarding audit para about undue favour to contractor due to unjustified payment of escalation amounting to Rs.62.99 million, PAC settled the para subject to verification of record from Audit within 15 days. Regarding audit para about non-recovery of rent of Rs.36.78 million, PAC directed to get the recovery record verified from Audit within 15 days and resolve the issue at DAC level. Regarding audit para about unauthorized/irregular variation order amounting to Rs.25 million, PAC directed that the inquiry be finalized by NESPAK and submitted to Audit within one month. Regarding audit para about irregular procurements of Rs.22.35 million in violation of PPRA Rules – 2004, PAC directed that the inquiry be finalized by Member Finance WAPDA within 15 days covering all details of quantity of each item procured along with its rate and mode of purchasing. Regarding audit para about non-recovery of security desposit and extra rent of Rs.9.09 million, PAC settled the para subject to verification of record from Audit within 15 days providing proof that 25% extra rent on account of construction of mezzanine floor has been charged to all tenants whose lease agreements were renewed after the date of issuance of office orders i.e. 17.8.2005 for charging extra rent. Regarding audit para about non-disposal of off-road vehicles amounting to Rs. 2.20 million, PAC directed to scrap the vehicles and dispose of the same as per PPRA Rules.

Regarding audit para about wasteful resources due to non-utilisation of Hemodialysis Machine worth Rs. 1 million, PAC settled the para. Regarding audit para about excess payment in violation of the provision of cost of variation orders amounting to Rs.1246.95 million, PAC directed to get the Revised PC-I approved from ECNEC within one month. Regarding audit para about un-justified provision of variation order amounting to Rs. 101.66 million, PAC settled the para. Regarding audit para about loss due to damage of material worth Rs. 3.02 million, PAC directed to pursue the case with NICL vigorously and finalise the same within 3 months. Regarding audit para about loss of Rs.2.93 million due to procurement of electrical material at higher rates, PAC settled the para subject to verification of record from Audit within 15 days. Regarding audit para about unauthorised expenditure of Rs.1.24 million for security of TBMs, PAC settled the para subject to verification of record from Audit within 15 days.

For more information, contact:
Muhammad Abid Rana
Director Public Relations
Water and Power Development Authority (WAPDA)
G-32, WAPDA House, Lahore
Tel: +92-42-99202633
Fax: +92-42-99203144
Cell: +92-333-4458293
Email: mabidrana@gmail.com
Website: www.wapda.gov.pk