Army running water and power services in Pakistan

January 27, 1999
Issue 

By Farooq Tariq

LAHORE — In a drastic move to curb trade union activity in the power and water sector, the Pakistan government last month "suspended" the trade unions covering the Water and Power Development Authority (WAPDA)for two years.

On December 23, the federal government inducted 30,000 to 35,000 junior commissioned officers and around 250 officers of the Pakistan army into the eight transmission companies and one distribution company that now constitute WAPDA. Eight brigadiers have taken charge of the transmission.

"The army will 'help' the power company in all sorts of departments, from reading meters, delivering bills, to detecting cases of electricity theft and even manning public complaint centres", said the newly appointed WAPDA chairperson, Lt General Zulfiqar Ali Khan. Ali is a brother of the federal minister concerned.

The government's action is another step in its curbing of trade union rights in many areas. Recently, Pakistan International Airlines workers' union rights have been taken back on the pretext of safeguarding essential services. The 100,000 railway workers from the open lines have met the same treatment.

The Essential Services Act was used during the martial law period under Zia ul-Haq in the early '80s to ban union activities. Now, the same act is being used by the so-called democratic government of Prime Minister Mian Nawaz Sharif.

The real motivation for the attack on the electricity and water workers is the government's determination to abide by the agenda of the IMF and World Bank to drastically downsize and progressively privatise this department. More than 150,000 workers are employed by WAPDA.

The latest measures have been justified in terms of WAPDA's heavy losses: the government claims that at least 26% of the electricity produced has been stolen by "influential people". However, these influential people are mainly from the ruling Muslim League and the opposition Pakistan People's Party. They belong to the feudal and capitalist class.

In fact, the military has been brought in, not to curb the theft, but to get rid of workers as part of the downsizing; 45,000 jobs are under threat.

The main reason for WAPDA's electricity losses is the partial privatisation of the profitable thermal power stations during Benazir Bhutto's government from 1994 to 1996. The present government claims that large-scale irregularities and corruption were involved in the privatisation of these units.

The main beneficiaries of the privatisation were the US and British buyers. The government guaranteed very high prices for the electricity, and the companies are now making big profits while consumers' electricity bills have tripled in the last few years.

The current government initially tried to negotiate with these so-called independent power projects to reduce electricity prices, but under pressure from the IMF and World Bank has now done a U-turn. Instead, it is targeting the workers and calling in the army to run WAPDA.

The army's role in running civilian administrations has been increasing over the last two years. Profitable contracts have been awarded to the army in education, census work and road construction.

The emergency rule instituted after the nuclear tests on May 28 is now showing its real face. For example, when the Sindh provincial government was dismissed and governor's rule imposed in October [see article on page 18], army courts were established in the province, supposedly to curb the terrorism.

As well, the federal government is trying to impose the sharia laws, which will give it dictatorial powers. The bill has been passed by the National Assembly, but not yet by the Senate, in which the government does not have a majority.

During the last two years, the Nawaz government has faced a severe economic crisis and has been forced to raise taxes, causing unprecedented price increases. The crisis has been exacerbated by the sanctions imposed by the imperialist powers following Pakistan's nuclear tests.

On two occasions, the government reached the situation of having to default on its loan repayments. The recent IMF and World Bank US$5.5 billion bailout demanded the devaluation of the rupee, privatisation of financial and services institutions and the imposition of a general sales tax of up to 15%.

Workers have resisted these measures by striking and demonstrating in different institutions. Recently, the Habib Bank workers defied threats from the industrial courts and the government to hold a successful three-week strike demanding the implementation of a pay package the government had been refusing for four years.

As well, rail workers have launched a national campaign against the privatisation of railways, involving mass protest meetings, hunger strike camps and threats of an all-out strike. Despite the government's efforts, it has not yet succeeded in fully privatising a major institution.

The unions covering WAPDA workers have condemned the government's actions and threatened to go on strike. They have also decided to appeal to the Supreme Court. The Labour Party of Pakistan has called on the Pakistan Workers' Confederation to take strike action to defeat the government's attacks.

We appeal to the international labour movement to also condemn these attacks on the trade union movement, and the electricity workers in particular. Please send a message of protest to: Mian Nawaz Sharif, Prime Minister of Pakistan, Islamabad, Pakistan; fax 92 51 920 7464; phone 92 51 922 2333, with a copy to: Weekly Mazdoor Jeddojuhd, 40 Abbot Road, Lahore, Pakistan; fax 92 42 630 1685.

[Farooq Tariq is editor of Weekly Mazdoor Jeddojuhd (Workers' Struggle).]

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