ISLAMABAD: The Power Division has asked the Ministry of Communication to release remaining liabilities of power distribution companies (discos) amounting to Rs 8.7 billion.
This would enable discos to recover their bills from customers deposited in the General Post Offices (GPOs) from July 2022.
In an Office Memorandum dated 14th February 2023, the power division has asked the Secretary Ministry of Communication and Director General (DG), Pakistan Post to clear liabilities of discos pending from July 2022.
As per details, the GPOs had received the electricity bills from the power consumers and withheld the collected amount instead of paying to the discos.
These funds would not only help the power sector to meet its financial obligations, and payments to the generators but also help to avoid unscheduled load-shedding in the coming summer, said the power division’s memorandum.
The memorandum further exclaimed that, “urgent action is highly desirable”.
According to the document, GPOs of the Communication Ministry have to clear liabilities of four discos and K-Electric.
Out of total Rs 8.7 billion with GPOs include Rs 2.4 billion amount of Hyderabad Electric Supply Company (HESCO), Rs 8 billion of Quetta Electric Supply Company (QESCO), Rs 750 million of Lahore Electric Supply Company (LESCO), Rs 783 million of Sukkur Electric Power Company (SEPCO) and Rs 3.9 billion amount of K-Electric.
It is pertinent to mention that Finance Division in a letter from September last year, carrying subject “Release of Retained Electricity Bills of discos Collected by the GPOs” had allowed Pakistan Post Office Department (PPOD) to draw released Rs 20 billion from State Bank of Pakistan through letter of credit arrangement to clear the outstanding liabilities of discos including K-Electric.
The PPOD has so far cleared the liabilities of over Rs 17 billion owed to the other discos. However an amount of Rs 750 million of LESCO is still pending with the PPOD which the power division has asked to release on urgent basis.
Timely payment of dues is crucial to maintaining a healthy business relationship and ensuring the smooth operation of DISCOs. The delay in clearing these dues not only impacts the financial stability of the DISCOs but also hampers their ability to provide uninterrupted power supply to consumers. It is imperative that the Communication Ministry takes immediate action to clear the pending dues and demonstrates its commitment to fulfilling its financial obligations. Such proactive measures will not only strengthen the partnership between the ministry and DISCOs but also contribute to the overall stability and efficiency of the power sector in Pakistan.