LAHORE - The Pakistan Electric Power Company (PEPCO) has asked all of its eight electric distribution companies (Discos) to take harsh stance and not to tolerate single day defaulter of its consumer in disconnecting the electricity facility owing the severe fiscal deficits being faced by the company. In a harsh letter delivered to these companies, the director general Commercial Services on the behalf of managing director PEPCO has asked of setting August 30 deadline for recovery of out standing dues from private sector, provincial and federal government departments to disconnect the electricity connection with any of outstanding dues. The letter said that the receivables against private consumers including individuals are mounting every month due to non-payment of bills. 'PEPCO is facing financial difficulties and cannot afford further accumulation of arrears. In order to slash down financial position MD has desired that wide publicity be made through print media by publishing clear-cut notice to all defaulters including residential, commercial agricultural and government departments that these connection will be disconnected if the dues are not cleared with in 10 days,' the letter said. Sources said that the all kind of relief packages have also been withdrawn, which had been announced for permanently, disconnected consumers. These packages had been given the consumers who have been permanently disconnected for five years or above and they have been allowed to pay 50 percent of the arrears while remaining 50 percent amount will be waived off. After settlement of arrears, these consumers will be entitled to new connection as per existing policy. The defaulting arc/induction steel furnace consumers can also avail this package. The Water and Power Development Authority (WAPDA) had also withdrawn the extended relief package. The defaulting arc/induction steel furnace consumers who had also been allowed to avail this package to the permanently disconnected consumers with age five years or above, have been allowed to pay 50 percent of the arrears while remaining 50 percent amount will be waived off. After settlement of arrears, these consumers will be entitled to new connection as per existing policy. Sources said that the Karachi Electric Supply Company has also been served with fresh notice that the company was under obligation to make full payment of their over due payment while entering into a commercial agreement as per normal business practices. They said that KESC was put under default notice about seven months back for non-payment of past dues (first notice was given on Oct 11th 2007). Repeated reminders have been issued to which neither has there been any response, nor KESC has made any payment since December 18, last. Consequently, the receivables from KESC has increased to a mammoth amount of Rs 34.8 billion for the electric power supplied to KESC during the last one year. Not only has KESC failed to respond to the notices for requisite payment plans nor any commitment has been made, whereas PEPCO continued to pay for supply from HUBCO and also for oil and gas supply to Jamshoro Power Plant, both of which supply power to KESC. Whereas PEPCO and NTDC managements are fully cognizant of the need of electric power in the city of Karachi and accordingly continued to supply about 500 MW during the months of Moharram and through the National election period, but KESC has avoided response to several notices and refused to make any payment. Accordingly, on March 1, the final notice for payment was issued with the clear warning that electric power would be disconnected on Thursday, if minimum payment of Rs 3 billion was not paid. "Even this disconnection notice was not responded by KESC, which clearly shows their attitude and position not to pay for electricity supplied," the officials said.