Power Division directs execution of SLAs with captive power industries

January 31, 2025 (MLN): The Power Division has issued a special directive to all electricity distribution companies, including Karachi Electric, regarding the execution of exclusive service-level agreements (SLAs) with industries that have captive power generation.

The objective of these service level agreements is to enhance reliance on the transmission system of electricity distribution companies.

These agreements will include provisions ensuring a stable, reliable, and high-quality electricity supply to these industries, catering to their specific needs, according to the press release issued.

In case of non-compliance or violations by distribution companies, penalties will be imposed.

Initially, these agreements are proposed to be for a period of two years.

The agreements will also cover mechanisms for addressing technical faults in electricity supply and their resolution.

 A structured mechanism for resolving disputes arising under these agreements will also be outlined.

The directive instructs all electricity distribution companies to fulfill the legal requirements for these service-level agreements immediately.

Furthermore, the directive reiterates that this agreement does not override or replace the conditions and parameters of the Grid Code, Distribution Code, Consumer Service Manual, or any other prevailing law.

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