Powers and Duties of the Authority

General powers and duties of the Authority and framing of schemes.

8.      (1)     The Authority shall prepare, for the approval of the Government a comprehensive plan for the development and Utilization of the Water and Power resources of Pakistan on a unified and multi-purpose basis.

          (2)     the Authority may frame a scheme or schemes for a Province or any part thereof providing for all or any of the following matters, namely

               (i)      Irrigation, water supply and drainage; and recreational- use of water resources.

                    (ii)     The generation, transmission and distribution of power, and the construction, maintenance and operation of power houses and grids.

                    (iii)    Flood control.

                    (iv)    The prevention of waterlogged and reclamation of waterlogged and salted lands.

                    (v)     Inland navigation.

                    (vi)    The prevention of any ill-effects on public health resulting from the operations of the Authority and

                    (vii)   "Privatize or otherwise restructure any operation of the Authority except the hydel generating power stations *(and the National Transmission Grid - omitted)"  and

3.      Every scheme prepared by the Authority under subsection (2) shall be submitted for approval to the Government, with the following information:-

          (i)      A description of the scheme and the manner of its execution.

          (ii)     An estimate of costs and benefits the allocation of costs to the various  purposes to be served by the scheme and the amounts to be repaid by  the beneficiaries  and

          (iii)    A statement of the proposal by the Authority for the resettlement of rehousing of persons .likely to be displaced by the execution of the scheme.

4.      The Government may sanction or may refuse to sanction or may return for reconsideration any scheme submitted to it under this section or may call for such further details or information about the ~scheme, or may direct such further examination of the scheme as it may consider necessary.

*5.     (Added) "Where a Scheme is sanctioned by the Government under sub-section(4), the Authority may:

          (a)     undertake any joint venture or work in association with. The Provincial Government, and agency, corporation, company, authority or any person and may subscribe to the equities and acquire such other rights and obligations as may be necessary for such joint venture or association.

          (b)     promote, from or sponsor any company or companies having objects of installation of thermal and hydel projects and development and, utilization of any resources of energy for generation, transmission and distribution of power and for survey, investigation, exploitation and utilization of resources of energy for generation, transmission and distribution of power.

          (c)     subscribe for, take or otherwise, acquire, hold and dispose off shares, bonds, debentures, commercial papers or other securities of any company promoted, formed or sponsored under clause (b) and receive dividends or other payments there from and transfer to it any of its land or any other property, movable or immovable, tangible or intangible, against cash, " share, bonds debentures, commercial papers or other securities as is' desirable or necessary to enable it to privatize or otherwise restructure any operation of the Authority.

          (d)     enter into any of the following arrangements which may be consistent with its objects namely:

1. provision of services and personnel;
   1. provision of goods, appliances plants, machinery and other material and
   2. purchasing of electrical capacity and energy from any company specified in clause (b)
   3. A scheme framed and sanctioned under this Act may be amended or modified by the Authority at any time, but if a material change is made in the scheme, previous sanction of the Government shall obtained.

          (e)     enter into any contract or agreement with any company or companies specified in clause (b).

#/(f)   notwithstanding any terms of any contract entered into by the Authority for the supply of electricity to any person, transfer such contract to any company or other entity promoted, formed or sponsored pursuant to a scheme framed under clause (vii) of sub-section (2).

          Explanation-- For the purpose of this section, the expression "privatize" means the transfer or disinvestment of any of its assets, property, rights of liabilities, , interest, power houses, 'grid operation of work, or maintenance thereof, or generation or its ­distribution, by the Authority, with the prior approval of the Federal Government for valuable consideration to any person, company or body on ownership basis or for management control, operation or maintenance, either in joint venture or in association or otherwise and subject to such conditions as the Authority may impose.

Schemes framed by other agencies

9.      (1)     Any scheme framed by an agency in any Province other than the Authority, in j'" respect of any of the matters enumerated in subsection (2) of Section 8, if it's estimated cost exceeds the amount to be prescribed by the Government shall be submitted to the Government through the Authority and the Government may pass any of the orders contemplated by sub-section (4) of Section 8.

               (2)     The Authority may with the approval of the Government, undertake execution of any scheme, or exercise technical supervision and administrative and financial " control over the execution of any scheme framed or sponsored by any agency in respect of the matters enumerated in sub-section (2) of Section 8.

            * 9-A. Notwithstanding anything contained in this Act, the Authority may, with the previous approval of the Government, undertake the execution of any scheme framed or sponsored by a Provincial Government or any agency under the control of Provincial Government, or exercise technical supervision and administrative and financial control over the execution thereof on such terms and conditions as may be agreed to by the Authority on the one hand and Provincial Government or, such agency in consultation with the Provincial Government on the other as the case may be.

Survey and Experiments

10.    The Authority, if it considers this necessary or expedient for carrying out the purpose of this Act, may:­

(a)     cause studies, surveys, experiments or technical research to be made; or  

(b)     contribute towards the cost of any such studies, surveys, experiments or technical research made by any other agency.

l0-A. On and from such date as the Government may, be notification, declare and subject to such terms and conditions as it may determine, all assets including lands, works, machinery apparatus, material and plants vested in the Government in the. Electricity Department shall vest in the Authority, and all liabilities in respect of the said assets shall be liability of the Authority.

Control over waters, power houses and grids

11.  (1)     Subject  to the provisions of any other law for the time being in force, the Authority:­

(i)      Shall have control over the

                          (a)     underground water resources of any region in a Province;

(b)     operation of **its power houses and grids, including such ancillaries works as may be considered necessary for their proper operation.

          (ii)  may make recommendations to the Government for prescribing standards for the­

                        (a)      operation and maintenance of all irrigation works;

                        (b)      maintenance of power houses and grids;.

       (iii)    may make recommendations to the Government for promoting simplification of methods of charge for supplies of electricity and standardization of the system of supply;

       (2)             Before the Authority exercise any control under clause (i) of sub section (1), the area over which and the extent to which control is intended to be exercised shall be agreed to and notified by the Government in the official Gazette.

Authority to have Dower and obligation of licensee under Act IX of 1910

12.    The Authority shall for the purposes of the Electricity Act, 1910 (IX of 1910) be deemed to be licensee and shall have all the powers and discharge all the obligation of a licensee under the said Act.

          Provided that nothing in Sections 3 to II, sub-section (2) and (3) of Section 21 and Sections 22, 23 and 27 or in clauses 1 to XII of the Schedule to the Said Act relating to the duties and obligations of a licensee shall apply to the Authority.

Powers regarding certain matters

13.    (1)          The Authority may take such measures and exercise such power as it considers necessary or expedient for the carrying out of the purposes of this Act.

          (2)          Without prejudice to the generality of the power conferred by the preceding i sections and the provisions of such-section (1) of this section, the Authority may for carrying out the purposes of this Act:­

                        (a)       undertake any works, incur any expenditure, procure plant, machinery and materials required for its use and enter into and perform all such contracts as it may consider necessary or expedient;

                        (b)       acquire by purchase, lease, exchange or otherwise and dispose off by sale,  lease, exchange or otherwise any land or any interest in land;

                        (c)        place wires, poles, wall brackets, stays, apparatus and appliance for the transmission of electricity or for the transmission of telegraphic or telephonic communications necessary for the proper execution of a scheme;

                         (d)       Direct the owners of private lands to:­

                                    (i)        carry out measures for training of streams;

                                    (ii)       under take anti-erosion operations, including conservation of forests and representation.

                        (e)       restrict or prohibit by general or special order the cleaning and breaking up of land in the catchment area of any river;

                         (f)         direct that any work which has been required to be done by any person under the two preceding clauses, and which remains undone, shall after due notice to such person- and consideration of any objection raised by him, be executed by the Authority and specify the proportion in which the risk and expense of such work shall be borne by such person, or by any other person who, after being given a reasonable notice and after such inquiry as the Authority considers necessary, is held by the Authority to be responsible for the execution of such work in whole or in part; and

                        (g)       seek and obtain advice and assistance in the preparation or execution of a scheme from any local body or agency of the Government, and such local body. or agency shall give the advice and assistance sought by the Authority to the best of its ability, knowledge and judgment;

                        Provided that the Authority shall pay the cost of such advice and assistance if the giving of such advice and assistance entails additional expenditure to the local body or the agency.

               (3)     The acquisition of any land or any interest in land for the Authority, under this sections, or for any scheme under this Act, shall be deemed to be an acquisition for a public purpose within the meaning of the Land Acquisition Act, 1894, and the provision of the said Act shall apply to all such proceedings.

Right of Entry

14.    (1)          The Chairman or any person authorized by him in writing may enter upon and survey any land, erect pillars for the determination of intended lines of works, make borings and excavations and. do all other acts which may be necessary for the preparations of any scheme.

                        Provided that when the affected land does not vest in the Authority, the power conferred by this sub-section shall be exercised in such manner as to cause the least interference with, and the least damage to, the rights of the owner thereof.

          (2)          When any person enters into or upon any land in pursuance of subsection (1), shall at the time of entering or as soon thereafter as may be practicable, pay or tender payment for all necessary damage to be done as aforesaid, and in case of disputes as to the sufficiency of the amount so paid or tendered, the disputes shall be referred to the Deputy Commissioner of the district whose decision shall be final.

Sanction of the Government

          Explanation - An increase in the cost of the scheme by more than fifteen per cent of the sanctioned cost, or a change in the benefit and cost ratio which either makes the cost component in the ratio exceed the benefits or reduces the benefits component by more than fifteen per cent shall be deemed to be a material change for the purpose of this section.

Arrangement with Local body or other Agency

16     (1)          As soon as any scheme has been carried out by the Authority or at a later date, the Authority may arrange by a written agreement with a local body or other agency within whose jurisdiction any particular area covered by the scheme lies, to take over and maintain any of the works and services in that area. If the Authority fails to obtain the assent of such a local body or other 'agency, it may refer the matter to the Provincial Government and the Provincial Government may give such directions to the local body or other agency as it may deem fit.

            (2)                   The Government shall have. the power to direct the Authority to .hand over any :. scheme other than a power scheme or the power part of a multi purpose scheme carried out by it to any agency of the Government or a local body. In such a case the Authority shall be entitled to receive credit to the extent of the audited expenditure incurred by it on that scheme.

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