BR100 Increased By (1.77%)
BR30 Increased By (1.96%)
KSE100 Increased By (1.59%)
KSE30 Increased By (1.65%)
BECO 5.62 Increased By ▲ 0.04 (0.72%)
BML 59.51 Decreased By ▼ -1.71 (-2.79%)
BOP 34.61 Increased By ▲ 0.93 (2.76%)
CNERGY 8.08 No Change ▼ 0.00 (0%)
DCL 12.05 Increased By ▲ 0.41 (3.52%)
FCCL 54.40 Increased By ▲ 2.26 (4.33%)
FCSC 5.52 Decreased By ▼ -0.11 (-1.95%)
FFL 18.05 Increased By ▲ 0.04 (0.22%)
FNEL 1.33 Decreased By ▼ -0.02 (-1.48%)
HUMNL 11.07 Increased By ▲ 0.03 (0.27%)
KEL 8.05 Increased By ▲ 0.21 (2.68%)
KOSM 5.88 Increased By ▲ 0.15 (2.62%)
MLCF 90.52 Increased By ▲ 4.01 (4.64%)
NBP 190.17 Increased By ▲ 5.87 (3.19%)
PACE 11.53 Decreased By ▼ -0.12 (-1.03%)
PAEL 41.07 Increased By ▲ 1.11 (2.78%)
PIAHCLA 25.84 Increased By ▲ 0.17 (0.66%)
PIBTL 17.51 Increased By ▲ 0.24 (1.39%)
PPL 225.84 Increased By ▲ 3.17 (1.42%)
PRL 34.63 Increased By ▲ 0.17 (0.49%)
PTC 64.62 Increased By ▲ 0.88 (1.38%)
SEARL 91.38 Increased By ▲ 0.92 (1.02%)
SSGC 26.97 Increased By ▲ 0.30 (1.12%)
TELE 8.93 Increased By ▲ 0.02 (0.22%)
THCCL 69.16 Increased By ▲ 0.69 (1.01%)
TPLP 10.90 Decreased By ▼ -0.30 (-2.68%)
TREET 24.64 Decreased By ▼ -0.06 (-0.24%)
TRG 69.78 Decreased By ▼ -0.81 (-1.15%)
WAVES 11.16 Increased By ▲ 0.05 (0.45%)
WTL 1.27 No Change ▼ 0.00 (0%)
Markets

‘Rs146bn unpaid’: Energy minister writes letters to provinces for outstanding power dues

  • Overdue electricity bills hindering ongoing reforms in energy sector, Awais Leghari says
Published December 12, 2024 Updated December 12, 2024 10:31pm

Federal Minister for Power Division Sardar Awais Leghari has written letters to the chief ministers of all four provinces for payment of overdue electricity bills of their respective government departments, amounting over Rs146 billion, a ministry statement read on Thursday.

Pakistan’s energy sector has been in crisis for a number of reasons. One of the core issues is the circular debt, when power companies are unable to pay fuel suppliers and power producers due to non-payment from consumers, including government institutions.

T&D losses amassed: Nepra to sue Discos for Rs276bn circular debt

A total of over Rs146 billion is outstanding on various provincial governments’ departments, according to the ministry.

“The Ministry of Energy (Power Division) has initiated a number of reforms initiatives in the power sector under the able leadership of the Prime Minister 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,” Leghari wrote in the letters, copies of which are available with Business Recorder.

“One key area of the reforms road map pertains to consolidation of financial health of the power distribution companies,” he said.

Power sector privatisation – A pipe dream without cost allowances

The minister said one key issue faced by the sector is the outstanding amounts of provincial departments in electricity bills that run in billions, Rs59.682 billion in case of Sindh government alone, followed by Balochistan with Rs39.600 billion, Punjab with Rs38.014 billion, and Khyber Pakhtunkhwa (KP) with Rs8.880 billion, making a total outstanding amount of Rs146.176 billion as September 2024.

He sought “personal intervention” of the chief ministers, asking them to direct the provincial departments to clear the outstanding electricity dues.

As per NEPRA’s State of the Industry Report, as of June 30, 2023, Pakistan’s circular debt rose to Rs2.309 trillion, with an year-on-year increase of Rs57 billion.

Details of the outstanding amounts on provincial governments:

Sindh

 Source: Energy ministry
Source: Energy ministry

Punjab

 Source: Energy ministry
Source: Energy ministry

Khyber Pakhtunkhwa (KP)

 Source: Energy ministry
Source: Energy ministry

Balochistan

 Source: Energy ministry
Source: Energy ministry

Comments

Comments are closed for this article.

NAVEED Dec 12, 2024 11:05pm
A poor person connection is cut on non payment of second electric bill. But the public servents who is getting salaries vand benifits from poor mans direct indirect taxes never pays government offices bills and always get away without accountability SERVENT RULE OVER MASTER
0