An Act to provide for the development of power resources of the Gilgit-Baltistan.

[The Gazette of Pakistan, Extraordinary, Part-I, 6th June, 2012]

No. C-1 (2)/2012 GBC—The following Act, passed by the Gilgit-Baltistan Council on 21st March, 2012 and authenticated by the Chairman, Giigit-Baltistan Council/Prime Minister of Pakistan, is hereby published for general information.

WHEREAS it is expedient to provide for the development of power resources of the Gilgit-Baltistan for the purposes hereinafter appearing;

It is hereby enacted as follows:—


1.  Short title, extent and commencement.—(1) This Act may be called the Gilgit-Baltistan Power Development Board Act, 2012.

(2)     It extends to the whole of Gilgit-Baltistan.

(3)     It shall come into force at once.

2.  Definitions.—In this Act, unless there is anything repugnant in the subject or context,—

(i)      “Board” means the Board of Directors of the Gilgit-Baltistan Power Development Board;

(ii)     “Chairman” means the Chairman of the Board;

(iii)    “Vice Chairman” means the Vice Chairman of the Board;

(iv)    “Council” means the Gilgit-Baltistan Council;

(v)     “Federal Government” means the Government of the Islamic Republic of Pakistan;

(vi)    “Government” means the Government of Gilgit-Baltistan;

(vii)   “land” includes benefits to arise out of land, and things attached to the earth or permanently fastened to anything attached to the earth;

(viii)  “Managing Director” means the Managing Director of the Gilgit Baltistan Power Development Board;

(ix)    “member” means a member of the Board;

(x)     “officer” means an officer of the Board;

(xi)    “power” includes hydro power, electrical energy, steam, gas, solar, geo thermal, wind or any other power notified as such by the Gilgit-Baltistan Council in the official Gazette;

(xii)   “prescribed” means prescribed by rules;

(xiii)  “rules” means rules made under this Act; and

(xiv)  “Scheduled Bank” means a Bank for the time being included in the list of Scheduled Banks maintained under sub-section (1) of Section 37 of the State Bank of Pakistan Act, 1956 (XXXIII of 1956).

Constitution of Board

3.  Board.—(1) There shall be established a Board known as the Gilgit-Baltistan Power Development Board.

(2)  The Board shall be a body corporate having power to acquire and hold property, both movable and immovable, having perpetual succession and a common seal and shall by the said name sue and be sued.

(3)  The head office of the Board shall be at Islamabad with regional office at Gilgit.

(4)  The Board shall consist of the following; namely:—

(i)      Minister-in-Charge, Gilgit-Baltistan
Council Secretariat.                                Chairman

(ii)     Chief Minister, Gilgit-Baltistan
Government.                                          Vice-Chairman

(iii)    Minister for Water and Power,
GB Government.                                    Member

(iv-v) Two (02) Members of Gilgit-Baltistan
Council to be nominated by the
Minister-in-Charge                                 Member

(vi)    Secretary-in-Charge, Gilgit-Baltistan
Council Secretariat                                 Member

(vii)   Member (Energy) Planning
Commission, P & D Division.                Member

(viii)  Chief Secretary, Gilgit-Baltistan
Government                                           Member

(ix)    Member Power, WAPDA                       Member

(x)     Chief Engineer, Water & power
Deptt, GB                                               Member

(xi)    A Representative of Private Power
Infrastructure Board                               Member

(xii)   Managing Director of the Board
appointed under Section 4                      Member

4.       Managing Director.—(1) The Council shall appoint a Managing Director of the Board, in consultation with the Board, on such terms and conditions as may be prescribed.

(2)     The Managing Director shall be responsible for overall administration and management of the Board. He shall also be responsible to carry out and implement the orders and decisions of the Board.

(3)     The term of office of the Managing Director shall be three years. On expiry of his term of office, the Managing Director shall be eligible for re-appointment for a subsequent term not exceeding three years as the Council may determine, in consultation with the Board.

(4)     The Managing Director may, at any time, resign from his office and by virtue of his resignation, he shall cease to be member of the Board, or if he resigns from the membership of the Board, he shall cease to be the Managing Director; provided that his resignation in either case shall not take effect until accepted by the Board.

(5)     There shall be a full time Secretary of the Board, who shall, under the general supervision of the Managing Director, be responsible for dealing with proceedings of the meetings and other matters entrusted by the Board.

5.       Consultants.—The Board may employ such experts, advisers, consultants and other officers, as it considers necessary for the efficient performance of functions of the Board, on such terms and conditions as may be prescribed by the Board.

6.       Removal of Managing Director.—The Board may, by Notification, remove the Managing Director:—

(a)     if he refuses or fails to discharge or becomes, in the opinion of the Board, incapable of discharging his responsibilities under this Act; or

(b)     if he has been declared insolvent; or

(c)     if he has been declared to be disqualified for the employment, or has been dismissed from the service of Pakistan or service of Gilgit-Baltistan, or has convicted of an offence involving moral turpitude; or

(d)     if he has knowingly acquired or continued to hold without the permission in writing of Board, directly or indirectly or through a partner, any share or interest in any contract or employment with, or on behalf of, the Board in any land or property which, in his knowledge, is likely to benefit or has benefited as a result of the operation of the Board.

(e)     guilty of misconduct.

7.       Meetings of the Board.—(1) The Board shall meet at least once in every three months in such manner and at such time and place as may be determined by the Chairman.

(2)     The Chairman or, in his absence, Vice chairman shall preside over the meeting.

(3)     The Chairman and five other members shall be present to constitute a quorum at meeting of the Board.

Powers and duties of the Board

8.       Function of the Board.—(1) Subject to any other law for the time being in force, the Board shall prepare, for the approval of Council, a comprehensive plan for the development and utilization of the power and energy resources of the Gilgit-Baltistan. The Board may also undertake such other schemes as Council may direct.

(2)     Without prejudice to the provisions of sub- section (1), the Board may frame a scheme or schemes for Gilgit-Baltistan for generation of power.

(3)     Every scheme prepared by the Board under sub-sections (1) and (2) shall be processed in accordance with the laid down procedures or instructions, which may be issued from time to time.

(4)     The Board shall make policies for power generation in Gilgit-Baltistan in collaboration with the private sector based on the national and international best practices and submit for approval of the Council.

9.       Studies by Board.—The Board, if it considers necessary or expedient for carrying out the purposes of this Act, may cause studies, pre-feasibility studies, detailed feasibility studies, surveys and experiments of technical research.

10.     Powers of Board.—(1) The Board may take such measures and exercise such powers as it considers necessary or expedient for carrying out the purposes of this Act.

(2)  Without prejudice to the generality of the foregoing powers, the Board may, in the prescribed manner and subject to the provisions of this Act,—

(a)     undertake any work, 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 to carry out the purposes of this Act; and

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


11.     Officers and Servants of the Board.—(1) The Board may, from time to time employ, directly or by induction, transfer, deputation, from Federal or other Provincial Governments, Gilgit-Baltistan Government, semi-autonomous and autonomous bodies, such officers and servants, as it may consider necessary for the efficient performance of its functions, on such terms and conditions as it may deem fit:

Provided that the terms and conditions of service of any such person shall not be varied to his disadvantage.

(2)  Appointments and promotions of officers and employees up to and including BPS-16 shall be made by the Managing Director in the manner prescribed. Appointments and promotions in BPS-17 and above shall be made by the Board in the prescribed manner.

12.     Actions done in good faith.—(1) The Managing Director, officers and servants of the Board shall, when acting or purporting to act in pursuance of any of the provisions of this Act, be deemed to be in the Service of the Board.

(2)  No suit, prosecution or other legal proceedings shall lie against the Chairman, Vice Chairman, Members, Managing Director officers and servants of the Board in respect of anything done or intended to the done, in good faith under this Act.

13.     Delegation of Powers.—The Board may, by general or special order, delegate to the Managing Director, a member or any officer of the Board any of its powers, duties or functions under this Act, subject to such conditions as it may think fit to impose.

Reports and Statements

14.     Report to the Council.—(1) The Board shall submit to the Council, as soon as may be possible after the end of each financial year but before the last day of October next following, a report on the conduct of the affairs of the Board for the year including an analysis of its physical and financial achievements for discussion.

(2)  The Council Secretariat may require the Board to furnish any return, statement, estimate, statistics, or other information or document regarding any matter under the control of the Board.


15.     Fund.—(1) There shall be a Fund to be known as the Board Fund vested in the Board which shall be utilized by it to meet expenses in connection with its functions under this Act, including the payment of salaries and other remunerations to the Managing Director, officers, servants and employees.

(2)     The Fund shall consist of:—

(a)     proceeds from sale of Power, (Provided that net proceeds will be shared between the Council and GB Government at a rate to be mutually agreed);

(b)     grants made by the Council including the Federal Government;

(c)     loans obtained from Council including the Federal Government;

(d)     grants made by local bodies;

(e)     loans obtained by the Board from commercial banks or any other such institutions;

(f)      foreign loans, grants or any other financial assistance obtained; and

(g)     Energy Development Surcharge in Gilgit-Baltistan; and

(h)     all other sums received by the Board;

(3)     The Board may keep money with a Scheduled Bank as per guidelines and approval of the Board.

(4) The Board shall endeavour to promote private sector in the generation of power.

16.     Fixation of rates.—The rates at which the Board may sell power shall be fixed keeping in view the operation costs, investment cost depreciation of assets, the redemption at due time of loans other than those covered by depreciation, the payment of any taxes and a reasonable return on investment or the rates approved by Council.

17.     Books of accounts.—The Board shall maintain complete and accurate books of accounts in such form as may be prescribed by it, provided that separate accounts shall be maintained for each scheme including its transactions relating to power.

18.     Receipt and expenditure.—In the month of May each year, the Board shall submit to the Council for approval a statement of the estimated receipts and expenditure in respect of the next financial year.

19.     Audit of accounts.—The accounts of the Board shall be audited by the Auditor-General of Gilgit-Baltistan.

Rules and Regulations

20.     Power to make rules.—For the purpose of carrying into effect the provisions of this Act, the Board may, frame such rules as it may consider necessary or expedient.

Passed by the Gilgit-Baltistan Council on the 2lstMarch, 2012.

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