KARACHI:
The International Monetary Fund (IMF) is pressuring the Pakistani government to improve recoveries from the power sector to reduce the sector’s circular debt. Ministry of Energy (MOE) has been continuously pursuing distribution companies (DISCOs), particularly those in Punjab, to raise the recovery level well above 100%. However, one issue that has been entirely ignored by MOE is the rampant overbilling to industrial, tube well, commercial and bulk consumers by LESCO, GEPCO and MEPCO in particular.
MOE’s criminal silence over excess billing has offered the companies leverage to continue harassing and torturing consumers. Field officers have billed up to 5 lakh units to many tube wells of just 10HP. Small and medium industries are being charged 10,000 to 90,000 extra units. Although several customers have lodged complaints, the companies rarely correct the bills. Overbilling was declared a major offence and punishable under the Code of Criminal Procedure, yet the practice continues unabated.
The power sector has become a major challenge for the government as the government paid out total accumulated losses of over Rs1,600 billion during the last financial year 2021-22. NEPRA should be urged to act against the overbilling issue. The government must root out corrupt and inefficient elements in the power sector to improve recoveries. Otherwise, the government will be met with anger from consumers if the power sector passes on surcharges without addressing the existing problems.
Asghar Ali Anjum
Lahore
Published in The Express Tribune, March 11th, 2023.
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