Power sector receivables from Balochistan’s agri-tubewells reach Rs530 billion

Farmers fail to pay dues; Qesco seeks federal intervention for subsidies

Outstanding power sector receivables linked to agricultural tubewells in Balochistan have surged to Rs530 billion as neither farmers nor the provincial government have paid their respective dues. 

According to a news report, despite an agreement between the federal and Balochistan governments on solarising agricultural tubewells, many consumers have failed to pay their monthly Rs10,000 share, as well as any additional charges exceeding Rs75,000.

According to the Consumer Service Manual regulated by NEPRA, power distribution companies have the authority to disconnect defaulters to prevent further accumulation of arrears. 

However, Quetta Electric Supply Company (Qesco) has opted for a lenient approach, reducing supply hours instead of disconnecting non-paying agricultural consumers. 

The agreement between the federal and provincial governments states that the previous subsidy mechanism would end once the solarization process is complete, but the transition remains unfinished.

Additionally, Balochistan’s government has not paid its share of subsidies since July 2024, further straining Qesco’s financial position. An earlier agreement had also mandated an additional Rs8 billion in grants from both the federal and provincial governments to cover extended electricity supply to agricultural consumers, but these payments remain outstanding.

Qesco, which is already facing financial difficulties, has urged the federal government to bring the matter before the Cabinet to ensure continued subsidy payments under the existing formula until solarization is fully implemented. 

The company has also requested the Power Division to press Balochistan’s government for the early payment of Rs56 billion in overdue agricultural subsidies and the release of the committed Rs8 billion grant for additional power supply.

 

Monitoring Desk
Monitoring Desk
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