PM Shehbaz directs comprehensive renewable energy strategy, action against power theft

Prime Minister Shehbaz Sharif on Tuesday directed authorities to formulate a comprehensive strategy to meet future energy needs through renewable sources, while accelerating efforts to reduce reliance on imported fuel and curb electricity theft, the PM Office said.

Chairing a review meeting on reform measures in the power sector, the prime minister said electricity generation from hydel, solar, and biogas sources would further reduce production costs and have a positive impact on economic growth, according to the statement.

He said no leniency would be shown to those involved in electricity theft.

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The prime minister also directed that departmental action be ensured against power distribution companies that had recently violated the economic merit order.

He called for faster implementation of the project to install smart meters on transformers in areas prone to electricity theft.

He further directed that steps to promote a competitive electricity market in the country be accelerated.

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The prime minister also asked officials to speed up work on supplying 400 megawatts of electricity to the private sector under the wheeling system in the first phase.

Officials briefed the meeting that electricity theft, non-payment and other losses in power transmission companies had been significantly reduced compared with last year due to effective measures.

They said losses in the power transmission system had declined from 18.3 percent in June 2024 to 15.3 percent in March 2026, while recovery of electricity bills had improved from 90 percent in June 2024 to 96.46 percent in March 2026.

The briefing added that work was under way on private sector participation in three power distribution companies, with the bidding stage expected to be completed by November this year.

It was further informed that smart meters had been installed on 2,500 loss-making feeders.

The meeting was attended by Law Minister Azam Nazeer Tarar, Economic Affairs Minister Ahad Khan Cheema, Finance Minister Muhammad Aurangzeb, Petroleum Minister Ali Pervaiz Malik, Power Division Minister Sardar Awais Leghari, Privatization Adviser Muhammad Ali, Minister of State for Finance Bilal Azhar Kiani and senior officials of relevant institutions.