Ignoring the recommendations of the committee which investigated the violation of the Iranian Persian Company responsible for the construction of the Mareb Gas Station, the Ministry of Electricity has not only agreed to use the low-quality generator but also accepted $ 60 million in compensation from the company which violated some items of the agreement between the two sides.
Informed sources told media outlets that the Iranian company had violated an article concerning standardizations of the generator it agreed to provide for the station when it purchased a low-quality generator.
The company's act prompted the ministry to set up a committee to investigate the violation.
Before the ministry move, national security officers investigated the technical staff at the ministry who was aware of the low-quality generator.
The company bought an Indian generator while the two sides agreed that the generator must be German 'Siemens' worth $ 200 million, According to investigators.
The ministry did not only ignore the recommendations of the committee by agreeing to use the Indian low-quality generator but went beyond that accepting $ 60 million in compensation from the company.
The substitution of a German generator for an Indian one was not the only violation by the Iranian company as the company should have completed the construction of the gas station in Mareb almost two years ago.
Under the agreement, the station would have commenced operation in 2007, but until now all what the ministry has promised is that the station to start operating by July.
However, informed sources said that Minister of Electricity can't honor his pledge as the station can't start operation by July.
They add that if so, the services to be provided by the station will only cover a small range reaching Sana'a.
With the project being delayed for almost two years, Yemen is losing $ 8 million a day in costs for energy and Mazut.
MPs argued that Yemen has lost over the last three years about $ 300 million, saying with the sum the government could have bought an integrated station.