Power Division slams Sindh’s SEPCO, HESCO over rising losses

Minister highlights rising losses, political interference hampers board changes, and electricity rates expected to stay steady

The Power Division has expressed dissatisfaction with the performance of two Sindh-based power distribution companies—Sukkur Electric Supply Company (SEPCO) and Hyderabad Electric Supply Company (HESCO)—citing increasing losses and operational challenges, according to a news report. 

Federal Minister for Power Awais Leghari, speaking at a National Assembly Standing Committee on Power meeting chaired by Muhammad Idrees, said the division has tried to replace the boards of both DISCOs but was unsuccessful due to political interference by the Pakistan Peoples Party (PPP). 

He noted that the acting CEO of HESCO, a Chartered Accountant, continues to hold office against the Power Division’s preferences.

While other DISCOs have managed to reduce losses, the minister said losses in SEPCO and HESCO have been rising. The issue of rising line losses also drew criticism from PAC Chairman Junaid Akbar, who reported that despite cooperation in removing illegal connections, electricity theft remains high and consumers face outages lasting up to eight hours.

The committee was told that vulnerable consumers—about 17 million—receive a 48 to 50 percent reduction in electricity prices. The Power Division has requested an increased subsidy of Rs 294 billion to support these consumers, warning that the middle class bears much of this subsidy burden.

Responding to questions about tariff relief, Nepra Chairman Waseem Mukhtar said electricity rates are expected to remain unchanged in the upcoming fiscal year. Industry has received around 30 percent tariff relief, but agricultural consumers have yet to benefit.

The Chief Executive of Peshawar Electric Supply Company (PESCO) reported improvements in loss reduction efforts, but the Power Minister instructed that relief measures against load shedding should be provided monthly rather than annually.

The committee was also informed that the new base electricity tariff will take effect from July 1, 2025, with the impact reflected in August bills.

Monitoring Desk
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