ISLAMABAD: Minister for Power, Sardar Awais Ahmed Khan Leghari has sought personal interventions of chief ministers for recovery of Rs over 90 billion from provincial government departments/entities.
The power minister’s letters were sent to the Chief Ministers of four provinces at a time when according to Chief Executive Officer (CEO), K-Electric, power sector circular debt has reached Rs 2.8 or Rs 2.9 trillion due to less recovery and losses.
Sindh is on top of defaulting provinces as total receivables against its departments stood at Rs 59.682 billion, of which shares of Hesco was Rs 21, 514 billion and Sepco Rs 38.168 billion till September 2024.
The departments of Punjab government owe Rs 38.014 billion to Discos, of which share of Lesco stood at Rs 17.276 billion, Gepco, Rs 2.841 billion, Fesco, Rs 5.057 billion, Iesco Rs 2. 933 billion and Mepco Rs 9.907 billion.
The amount of outstanding against Government of Balochistan was Rs 39.600 billion to Quetta Electricity Supply Company (Qesco) with entire province getting electricity from Qesco.
According to Power Division, outstanding amount against Khyber Pakhtunkhwa Government stood at Rs 8.880 billion, of which Rs 6.576 billion is to be paid to Pesco and Rs 2.304 billion to Tesco.
According to the letters released to the media, Power Division claims that it has initiated a number of reform initiatives in the power sector in order to bring back the power utility companies on the path of efficient service delivery coupled with making energy cheaper for the end consumers.
One key area of reform roadmap pertains to consolidation of financial health of Discos. This depends on generating more financial resources and focusing on anti-theft efforts and recovery of the outstanding dues of consumers which have accumulated over time.
Power minister maintains that with limited financial resources available with Discos, it is very difficult to continue uninterrupted electricity supply, not to speak of the financial losses to the federal government and the ensuing circular debt which devouring Pakistan’s economy.
He has sought personal intervention of Chief Ministers in the matter with the request to direct the departments of provinces to clear outstanding electricity dues.
Copyright Business Recorder, 2024