K-Electric commits to pay Rs9.14 billion in electricity duty to Sindh government

Power utility will pay Rs1.25 billion in two installments and an additional Rs4.258 billion by September 2025; Dispute over Rs25 billion in dues between KE and Karachi Water and Sewerage Board remains unresolved

K-Electric (KE) has agreed to pay Rs9.142 billion to the Sindh government for electricity duties it collected from consumers, after several years of delay. The total outstanding amount exceeds Rs32 billion, according to a news report. 

Under the new agreement, KE will pay Rs1.25 billion to the provincial government in two installments, with the first payment due soon. By September 2025, the power utility will pay an additional Rs4.258 billion. KE will also be required to regularly remit the electricity duty it collects through monthly consumer bills.

The issue of non-payment was raised by the Public Accounts Committee (PAC), which has now ensured the payments are made according to the agreed timeline.

Meanwhile, the dispute over Rs25 billion in dues between KE and the Karachi Water and Sewerage Board (KWSC) remains unresolved. KE has warned government departments that failure to pay bills on time could result in disconnections.

In a letter to the Sindh Energy Department, KE outlined the agreed payment schedule for the electricity duty and confirmed that reconciled dues from the KWSC would be adjusted against the accumulated electricity duty up to August 2024. KE also agreed to deposit the electricity duty for the period from September 2024 to September 2025 into the government treasury by September 30, 2025.

KE further emphasized that payment of electricity dues from the Sindh government and its departments should be made on time, or it would take appropriate action, including the disconnection of services, in accordance with the law.

Monitoring Desk
Monitoring Desk
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