The Public Accounts Committee (PAC) of Parliament, Pakistan’s top parliamentary oversight body, raised concerns on Tuesday over the procurement of approximately 1,100 vehicles by the Federal Board of Revenue (FBR). The PAC, led by Chairman Junaid Akbar Khan, hinted at summoning FBR Chairman Rashid Mahmood Langrial to explain the decision to purchase the vehicles during a time of economic distress.
The discussion unfolded during a PAC meeting focused on the slow recovery from power sector defaulters. Power Division Secretary Dr. Muhammad Fakhre Alam Irfan revealed that only Rs162 billion had been recovered out of a total Rs877 billion owed by defaulters. This sluggish pace prompted a visibly frustrated PAC chairman to question the performance of both the Power Division and Langrial, the former Secretary of Power Division who now heads the FBR.
PAC member Shahida Akhter Ali specifically questioned Langrial’s role during his tenure as Power Division Secretary in ensuring recovery from defaulters. In response, Chairman Khan pointed out that Langrial, now heading the FBR, was currently overseeing the procurement of hundreds of vehicles for his department despite the country’s challenging financial situation. Khan suggested that Langrial could be summoned to explain this decision at the next PAC meeting.
The discussion also highlighted the ongoing power recovery issues, especially in Khyber Pakhtunkhwa, where locals have resorted to installing their own electricity poles due to dissatisfaction with the government’s efforts. Dr. Irfan mentioned plans to reduce taxes on electricity bills to ease the burden on consumers and stated that the government was setting up a Disco Support Unit in Khyber Pakhtunkhwa, which would include personnel from spy agencies and paramilitary forces to combat power theft and improve recovery efforts.
The PAC chairman also instructed the Power Division to submit monthly progress reports on recovery efforts and warned of strict action if officials failed to comply. The committee also sought detailed reports on the top 300 defaulters and actions taken against power theft.
Other matters discussed included a refund of over Rs21 billion to consumers who had been overbilled. Audit officials noted negligence on the part of meter reading staff but reported no action had been taken against them. The Power Division secretary acknowledged the overbilling issue and confirmed that the money had been refunded.
Further concerns were raised about the Board of Investment (BOI) over audit objections regarding uncompetitive services worth Rs5.5 million obtained during fiscal year 2021-22. The establishment of the Project Management Unit for the China-Pakistan Economic Corridor (CPEC) also incurred significant costs, leading to frustration from the PAC chairman. He questioned the Finance Ministry’s inaction over the past four years and reprimanded its officials for their lack of preparation during the meeting.
The PAC chairman demanded that the Finance Ministry address the issues promptly, threatening to expel officials who continued to arrive unprepared for such important discussions. He gave them 15 days to resolve the issues raised.
