Stakeholders urge Power Division to address theft, losses in Mepco

Updated 05 Nov, 2024

ISLAMABAD: Power Division has reportedly been advised by the stakeholders to take measures to tackle theft and control losses in Multan Electric Power Company (Mepco), well-informed sources told Business Recorder.

Power Division has been informed that the formulation of DISCO Support Unit (DSU) to strengthen management process, ensure effective monitoring against power thefts and expedite recoveries is an appreciable step and this model is expected to augment anti-power theft campaign.

A pilot project has started in Mepco which is holding regular meetings to assess the situation of theft, losses and financial bleeding in the company.

Recoveries, theft control: Govt to establish Disco support units

The sources said, Mepco endures 15.2% line losses which is above the Nepra’s defined threshold. Besides technical losses, a considerable percentage of losses include power theft causing multi- billion rupees’ loss to the national exchequer. So far, following causes of theft and inefficiencies have been ascertained: (i) political influence/interference in transfer/posting of officials and conflict-of-interest among senior management is hampering optimum functioning of MEPCO; (ii) deliberate infringement and making electricity meters dysfunctional with the connivance of consumers and MEPCO officials is the foremost hazard. Posh domestic areas that consume a large chunk of electricity have been identified as the main theft areas; (iii) corruption has sneaked into all ranks that provides a handy window of opportunity for electricity theft. Overbilling is purposely done to get bribe from the consumers; (iv) Trade Unions act like pressure group and create unwarranted hurdles in the implementation of any policy. All the previous models espoused by Power Division to revamp DISCOs have reportedly been confronted by the trade unions; (v) at least four XENS are assigned appointment of SEs despite sufficient availability of regular SEs; and (vi) the short-circuited transformers are re-winded with silver wire instead of copper wire. This is not only a corrupt practice to save cost but it also creates extra resistance in the transformers resulting in electricity loss.

The Power Division has been asked to direct MEPCO authorities to address the confronting issues to curb power theft, reduce line losses and improve efficiency.

Copyright Business Recorder, 2024

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