KARACHI - The KESC has finally received its first new power generation plant in two decades which is part of 50 MW rental power agreements that will temporarily resolve the power crisis in Karachi. "This will soon be followed by the commissioning of 220MW Korangi Power Plant, 88MW of which will be available from the first week of November 2008. In total, approximately 400MW additional capacity will be added to the KESC generation system by June 2009", said Naveed Ismail, the KESC head, while talking to The Nation on Thursday. There has been no investment in power generation sector in the company since last 25 years while about 90 per cent of the distribution system has completed its age, he added. "More then 15,000 transformers of the city are running over-loaded while out of 19 units, 13 have completed their structure time. This situation needs time to improve", he said. The CEO further explained that after every breakdown, the system takes time to energise and during this process sometimes the system gets collapsed and the duration of loadshedding extended. The KESC has been handed over to the new management with Rs 58 billion losses while its liabilities are exceeding beyond the budget of the company. "We are paying up our liabilities in order to win the confidence of other stakeholders of the country," said Naveed. It is worth mentioning here that the company is facing 40 per cent line losses compared to the only 12 to 13 per cent in other parts of the country. "The company is now trying to curtail the transmission and distribution losses in order to reduce its financial crisis", said the CEO. "Within next 2 to 3 years, the company is planning to install 1,000 MW project to overcome the power shortage in the city", he said.  "Abraaj is investing Rs. 31 billion in the KESC. This will be further enhanced in future", said Farrukh Abbas, CEO of Abraaj Pakistan.     The new KESC management also plans to constitute a voluntary governing council which will be a non-statutory and non-executive advisory board comprising of eminent citizens of Karachi from all walks of life, who will provide periodic guidance to KESC's executive management. This will ensure greater public insight and accountability into the organisation's activities and provide an opportunity to the people for increased input into the affairs of the company. The management said that these concrete steps are a clear reflection of a committed team having clear vision for this city. "We believe in delivery to our customers and we will continue striving for results despite current obstacles", said the CEO of KESC.