Govt Asks Provinces to Clear Rs 146B Electricity Dues

Staff Report :

The Federal Government has sought the intervention of all the four chief ministers for the recovery of electricity outstanding dues worth Rs 146.18 billion against the provincial government departments

“We are running a campaign for recovery of unpaid bills, wherein besides other challenges, one key issue faced is the outstanding amounts of Provincial Government departments in electricity bills that run in billions,” said the Federal Minister for Power Division, Awais Leghari in a separate letters written  to the Chief Ministers of Sindh, Balochistan, Punjab, and Khyber Pakhtunkhwa.Nepra May Cut Electricity Prices

According the letters, out of the total outstanding dues of Rs 146.18 billion, the departments of Government of Sindh owes major chunk of Rs.59.682 billons, followed by Balochistan Rs 39.6 billion, and Punjab Rs 38.014 billion. Interestingly, the provincial departments of Khyber Pakhtunkhwa owes only Rs 8.880 billion outstanding dues.

Notably, in Discos the highest outstanding dues of Rs 39.6 billion belongs to the government departments in the service areas of Quetta Electric Supply Company (QESCO), followed by Sukkur Electric Power Regulatory Authority (SEPCO) Rs 38.168 billion, Hyderabad Electric Supply Company (HESCO) Rs 21.514 billion, Lahore Electric Supply Company (LESCO) Rs 17.237 billion, Multan Electric Power Company (MEPCO) Rs 9.907 billion, Peshawar Electric Supply Company (PESCO) Rs 6.576 billion, Faisalabad Electric Supply Company Rs 5.057 billion, Islamabad Electric Supply Company (IESCO) Rs 2.933 billion,Gujranwala Electric Power Company Rs 2.841 billion, and Tribal Electric Supply Company Rs 2.304 billion.

“The Ministry of Energy (Power Division) has initiated a number of reforms initiatives in the power sector under the able leadership of the Prime Minster in order to bring back the power utility companies on the path of efficient service delivery coupled with making energy cheaper to the end consumers. One key area of the reforms road map pertains to consolidation of financial health of the power distribution companies. This depends on generating more financial resources and focusing on anti-theft efforts and recovery of the outstanding dues of the consumers which have accumulated over time,” the letter said.

“In this connection, we are running a campaign for recovery of unpaid bills, wherein besides other challenges, one key issue faced is the outstanding amounts of Provincial Government departments in electricity bills that run in billions,” he added.

It may be appreciated that with limited financial resources available with these DISCOs, it would be very difficult to continue un-interrupted electric supply, not to speak of the financial losses to the Federal Government and the ensuing circular debt which is devouring our economy.

“Foregoing in view, seek your personal intervention in the matter with the request to direct the departments of the Government of Sindh to clear the outstanding electricity dues,” he said. “I have asked the officers at Power Division as well as at the above mentioned DISCOs management to support and facilitate the Provincial Government with all possible clarifications and reconciliation that may be required,” the minister maintained.

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