Authorities recover Rs122b amid crackdown on electricity theft

Efforts to curb electricity theft in Pakistan have netted 86,000 arrests

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More than 86,000 individuals have been arrested across Pakistan in an ongoing nationwide crackdown on electricity theft, Express News reported.

The campaign has also recovered Rs122.35 billion since it launched in September 2023.

Operations were carried out in several cities, including Lahore, Gujranwala, Faisalabad, Islamabad, Multan, Peshawar, Hyderabad, Sukkur, and Quetta, resulting in the recovery of over Rs1.35 billion from offenders in October alone.a

Authorities have vowed to continue these efforts until electricity theft is completely eliminated, with 224 individuals apprehended during this month's operations.

Previously, Ministry of Energy sources told The Express Tribune that the gross addition to the circular debt had been estimated at Rs417 billion for fiscal year 2024-25 in spite of raising power tariffs from July.

The circular debt stood at Rs2.383 trillion by June this year, already higher than the commitment given to the International Monetary Fund (IMF) and more than the threshold approved by the federal cabinet last year under the Circular Debt Management Plan 2023-24.

After adding an estimated Rs417 billion, the debt will jump to Rs2.8 trillion by taking into account the power sector losses and inefficiencies.

Sources said that under an understanding reached with the IMF, the government would provide Rs381 billion in subsidies from the budget. This will restrict the debt to Rs2.42 trillion by June next year.