Consumers overcharged by Discos & KE: Nepra detects contradictions in data

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has identified contradictions in the data of consumers overcharged by the power Distribution Companies (Discos) and K-Electric (KE) due to meter reading beyond the defined billing cycle and wrong application of pro-rata mechanism, sources told Business Recorder.

The Authority in its letter of February 23, 2024 and July 30, 2024 had directed Discos to adjust the affected consumers on account of wrong charging of electricity bills due to meter reading beyond 30/31 days and wrong implications of pro-rata mechanism.

Accordingly, the Discos complied with the directions of the Authority, adjusted the affected consumers and submitted the following details in two set of documents, ie, the period of July 2023 to March 2024 and from April 2024 to June 2024.

Nepra warns Discos and KE: ‘Resolve overbilling issue or face legal action’

In Fesco, total number of affected consumers as per Power Information Technology Company (July-August 2023) was 315,695 whereas 75,884 consumers were adjusted during July 2023-March 2024 and the adjusted amount was Rs 349 million.

Gepco- 217,506( adjusted 116,722), amount Rs 217 million, HESCO, 145,985( adjusted 5,432 ) Rs 55.58 million, HESCO, 145,985( adjusted 5,432) Rs 55.58 million, IESCO, 10,326( adjusted 341,946) Rs 84.52 million, LESCO, 191,731( adjusted 197,376) Rs 316.89 million, MEPCO, 3,092,247 ( adjusted 3,933) Rs 232.87 million, PESCO, 29,566( adjusted 5,942), Rs 38.27 million, QESCO, 7,450( adjusted 1,989), Rs 10.97 million, SEPCO, 5,812( adjusted 5,247) Rs 18.97 million), K-Electric adjusted 40,161, Rs 84.18 million.

The total consumers were 4,106,318 of which 794,682 million were adjusted. The total amount was Rs 1.408 billion.

Moreover, the adjustments made by the DISCOs and PITC from period April 2024 to June 2024 on account of wrong applications of pro-rata mechanism has been compared with the number of affected consumers due to negative proration as was submitted during the previous inquiry conducted by NEPRA.

According to Nepra, it is surprisingly observed that the number of consumers adjusted does not match the number of affected consumers. During proceedings, KE informed that it does not apply pro-rata mechanism, however, KE has provided adjustments to affected consumers.

Statistics indicate that the total number of protected consumers was 404,494, converted to unprotected consumers during this period whereas the number of lower to higher slabs was 753,848 totaling 1,158,848, However, Discos adjusted 1,778,110, of which 116,316 were in Fesco, 398,368 in Gepco, 162,985 in Hesco, 23,201 in Iesco, 178,516 in Lesco, 499,954 MEPCO, 152,549 PESCO, 69,602 Qesco , 149,169 SEPCO and 27,405 K-Electric.

The total amount adjusted by Discos was Rs 3.680 billion, of which share of Fesco was Rs 286.83 million, Gepco, Rs 892.43 million, Hesco, Rs 358.56 million, Iesco, Rs 21.90 million, Lesco, Rs 488.58 million, Mepco, 960.96 million, Pesco, Rs 280.98 million, Qesco, Rs 85.80 million, Sepco Rs 250.91 million and K-Electric Rs 53.15 million.

Nepra noted with concern that the figures submitted by Discos and PITC are in contradiction with each other, directing Discos and PITC to validate the data and clarify the contradiction.

In addition, PITC has been directed to certify that it has developed the formula in billing software as per the directions of Nepra Authority given in its letter of February 9 and July 30, 2024. The Regulator has given fourteen days to Discos and PITC to submit compliance reports.

On July 30, 2024, Nepra, in its letters to Discos and KE stated that the electricity consumers received inflated bills for the month of June, 2024. The perusal of the information and data solicited from Power Information Technology Company and field visits conducted by the officers of the Authority reveal prima facie issues and violation of the applicable documents.

Copyright Business Recorder, 2025