Electricity consumers may face higher security deposit requirements, with amounts reaching up to Rs56,111, as eight state-owned power distribution companies (Discos) have requested approval from the National Electric Power Regulatory Authority (NEPRA) to revise rates.Â
According to media reports, the distribution firms—Peshawar Electric Supply Company (PESCO), Multan Electric Power Company (MEPCO), Gujranwala Electric Power Company (GEPCO), Lahore Electric Supply Company (LESCO), Faisalabad Electric Supply Company (FESCO), Hyderabad Electric Supply Company (HESCO), Quetta Electric Supply Company (QESCO), and Tribal Areas Electric Supply Company (TESCO)—have each submitted separate petitions to NEPRA.Â
These filings seek a revision in security deposit rates to address economic challenges and ensure financial sustainability. The power firms argue that the current deposit structure does not adequately protect them against financial risks, especially amid rising electricity costs and operational expenses.
NEPRA has scheduled a public hearing on February 11, 2025, to review the proposals, inviting stakeholders, consumers, and the public to provide input either in person or virtually.
In their petitions, the Discos have proposed linking security deposit rates to two months’ revenue, including taxes, for each tariff category. For urban domestic consumers, the revised deposit structure would be based on property size and electricity usage.Â
Consumers residing in properties up to 10 marlas would pay deposits calculated on three months’ average electricity consumption. For larger properties, deposits would be set at one percent of the property’s market value, as determined by the Federal Board of Revenue (FBR) rates.
The proposed changes, if approved, would directly impact electricity consumers, particularly those in high-consumption categories, as Discos seek to mitigate financial risks linked to non-payment and increasing energy costs.
