15 months: financial impact of power theft estimated at Rs500bn

Updated 26 Jul, 2023

ISLAMABAD: The Power Division Tuesday informed National Assembly Standing Committee on Power that the financial impact of electricity theft during the last 15 months has been estimated to be Rs500 billion.

The committee headed by Riaz Mazari was informed that 55,000 complaints of electricity theft were received during the year whereas 20,000 FIRs were registered, however only 528 people were arrested on theft charges. Non-cooperation of the local administration remains a big challenge.

The Members of Standing Committee noted that the performance of electricity distribution companies is not satisfactory as they are also receiving complaints of massive loadshedding in their respective constituencies.

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The committee expressed anger at the lack of measures to prevent electricity theft in the country, saying that actions against electricity theft equal zero.

The Power Division officials stated that instead of complete feeders, only the option of shutting down the transformers is under consideration. Islamabad Electric Supply Company (IESCO) has started work on installation of smart meters meant to control theft and reduce losses.

The Standing Committee directed the Power Division to take immediate action against power theft. Power Division officials noted that circular debt is increasing due to power theft, adding that electricity prices are raised to compensate losses.

The Power Division further apprised the committee that theft falls under the dominion of concerned Board of Directors of DISCOs.

The committee was informed that work is in progress on the privatization of DISCOs or handing them over to the provinces. The standing committee also raised the issue of repeated faults in Guddu Thermal Power Station and asked the concerned officials to sort it out.

However, SEPCO officials stated the grid is inside the Guddu Power Station due to which they are not allowed to go inside without permission. The standing committee members maintained that electricity supply is the right of the people, so why are the people being punished in the fight between GENCO and SEPCO.

Chairman standing committee argued that electricity is the right of people of Guddu and questioned why different organizations are blaming each other. The committee revealed that due to the short circuit fault of Guddu Power Plant, the southern areas have plunged into darkness many times.

SEPCO officials promised that the issue will be sorted out in a month and half as conductors are replaced, adding that there is no quick fix to the fault.

Copyright Business Recorder, 2023

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