ISLAMABAD: Smart meter prices for power distribution companies (DISCOs) have been reduced by up to 40 percent, translating into estimated nationwide savings of Rs.150 billion annually, Federal Minister for Power Sardar Awais Ahmed Khan Leghari announced on Monday.
The power minister made the remarks after a detailed report on smart meters was presented to him, crediting the reduction to consistent efforts by the Power Division to enhance transparency, competition, and efficiency in procurement.
He said that the introduction of transparent and internationally competitive procurement processes has brought down the price of a three-phase smart meter from around Rs.45,000 to below Rs.25,000, nearly matching the cost of a conventional three-phase meter. Similarly, the price of a single-phase smart meter has been reduced by Rs.7,000. He clarified that these prices are exclusive of applicable taxes.
According to the minister, improved planning by the Power Division and positive changes in the Pakistan Engineering Council’s regulations encouraged strong participation from international companies. He said that the removal of entry barriers, combined with bulk procurement of smart meters by all power distribution companies, led to significant cost reductions due to economies of scale and lower raw material and supply costs.
He added that continuous monitoring and the introduction of clear, competitive standards for smart meters also played a key role in driving prices down.
Sardar Awais Ahmed Khan Leghari said the estimated annual savings of Rs.150 billion are based on the replacement of defective and outdated meters by distribution companies. He added that the installation of new meters would provide additional financial relief to electricity consumers, with the benefit reflected in lower costs mentioned in demand notices for new connections.
The minister said that reduced smart meter prices would accelerate digitalization in the power sector and contribute to improved performance of the national grid.
Highlighting the broader impact, he said smart meters would help eliminate incorrect readings, enable quick detection of electricity theft, support prepaid billing, provide consumers direct access to their usage data, allow faster power restoration without the need for a lineman, and deliver several other operational and consumer benefits.
