Nepra imposes Rs26m as fine on Hesco for transformer blast

Islamabad – NEPRA on Monday fined Hyderabad Electric Supply Company (HESCO) Rs26 million on account of transformer blast in which 10 persons died and around 12 persons were injured.

The authority has also directed HESCO to compensate the families of the deceased from the general public Rs3.5 million, said a decision issued here by NEPRA.

As per the details, NEPRA upon receipt of reports of the transformer blast at Latifabad, Hyderabad had constituted a three member investigation committee under Section 27A of NEPRA Act 1997. The committee investigated the matter in detail by visiting the site of incident, recording statements of the residents, inquiring the concerned officials/officers of HESCO, conducting analysis of the damaged transformer, visiting manufacturer of the blasted transformer and presented a detailed report to the authority. 

The report revealed a total of 10 fatalities which included one HESCO’s employee and nine persons from general public. The blast also injured 12 persons. 

Therefore, the authority issued a show cause notice to HESCO under Section 27B of the NEPRA Act, 1997 and later provided an opportunity of hearing to HESCO. Based on the evidence available on record, submissions of HESCO and relevant provisions of the laws, rules and regulations; the authority concluded that HESCO has failed to discharge its statutory obligations to maintain safety standards as laid down in the relevant laws, code and manual. 

The authority has, therefore, imposed a fine of Rs26 million on HESCO. The authority has also noticed that HESCO has given compensation of Rs3.5 million to the family of its deceased employee who lost his life in the said incident; however, compensation of Rs0.75 million has been given to the families of nine deceased persons from the general public. The authority has, therefore, directed HESCO to compensate the families of the deceased from the general public equal to the amount given to its deceased employee’s family (Rs3.5 million) and documentary evidence of the same shall be shared with the authority.

Article source: https://nation.com.pk/12-Oct-2021/nepra-imposes-rs26m-as-fine-on-hesco-for-transformer-blast