Power consumers bearing the cost as Disco losses soar to Rs213 billion

ISLAMABAD: Power distribution companies have incurred over Rs213 billion in line losses over the past year, as power consumers bear the brunt for their incompetence.

In a presentation by Pakistan Electric Power Company (PEPCO) to Public Accounts Committee (PAC), MD Pepco stated power theft alongside technical issues were the primary reasons for line losses.

He emphasized that technical issues were hurting more than power theft and majority of committee members communicated their shock over the fact that technical issues were contributing more to line losses than power theft.

According to PAC member, Sheikh Rohale Asghar the line losses were rising primarily due to carelessness of distribution companies, but the consumers bearing the brunt in terms of paying extra amount for technical losses and power theft.

The members of the meeting were apprised that National Electric Power Regulatory Authority (Nepra) set a target of 16.5 percent line losses, although currently line losses in the system were touching 17.6 percent.

Data from Pepco revealed Pakistan has over 26.2 million electricity consumers and 50 percent of them were domestic while others were agriculture, industrial and commercial consumers.

It added the distribution network consists of 14 grid stations of 500kV, thirty-nine of 220kV, 656 of 132kV and 104 of 66kV.

Chairman PAC, Khursheed Shah recommended the disbandment of 66 KV grid stations by power distribution companies as they were causing losses and were inefficient.

Statistics revealed Sukkur Electric Supply Company losses stood at 37.9 percent, followed by 32.6 percent of Peshawar Electric Supply Company, 30.6 percent of Hyderabad Electric Supply Company. For other power distribution companies, line losses varied between 6 to 10 percent.

Chairman PAC noted if technical issues and poor transmission networks were the main reasons for such humongous losses, why were customers being penalized for the recovery of billion of rupees.

PAC was off the opinion that Ministry of Energy should introduce a mechanism for reducing extra burden on electricity consumers. The ministry was directed to give a detailed presentation on power theft of domestic consumers in its next meeting.

 

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