Karachi: Power distribution companies (DISCOs) in Pakistan have been found guilty of overbilling consumers by a staggering Rs8.44 billion to cover up their line losses, according to an official report. The report highlights widespread malpractice among several power companies, leading to an uproar among consumers and calls for accountability.
The National Electric Power Regulatory Authority (NEPRA) launched an inquiry into the matter after receiving complaints of inflated and excessive bills during July and August 2023. The findings revealed that various DISCOs deliberately overcharged millions of consumers to conceal the inefficiencies and losses incurred during electricity distribution.
According to the details provided in the report, the Hyderabad Electric Supply Company (HESCO) was responsible for overbilling consumers by Rs1.73 billion, while the Peshawar Electric Supply Company (PESCO) imposed excess charges amounting to Rs2.39 billion. The report also uncovered over Rs3 billion in overbilling practices by the Lahore and Islamabad Electric Power Supply Companies (LESCO and IESCO), further implicating these major power providers.
The report didn’t stop there. It also exposed the involvement of other DISCOs, including the Faisalabad Electric Supply Company (FESCO), Gujranwala Electric Power Company (GEPCO), Multan Electric Power Company (MEPCO), and Quetta Electric Supply Company (QESCO). These companies were found to have inflated bills in a calculated effort to mask their operational losses and inefficiencies in managing electricity distribution.
NEPRA’s 14-page report, which emerged following hearings and investigations, confirmed that no power distribution company in the country charged consumers correctly. “There is not a single Disco in the country who is charging bills in 100% correct manner,” the regulatory authority noted, pointing to systemic issues within Pakistan’s electricity distribution framework.
The inquiry was sparked by widespread consumer complaints from across the country, alleging “excessive, inflated, and wrong bills” issued during the summer months of 2023. Many consumers reported that the amount billed was far higher than expected, leading to public outrage and demands for immediate investigations.
NEPRA’s hearings revealed further irregularities. In many instances, the amount charged on consumer bills differed from the meter readings provided. Alarmingly, it was found that the snapshots of the meter readings, which are supposed to provide transparent evidence of the actual consumption, were either invisible or deliberately omitted from bills. This raised suspicions of intentional malpractice and neglect in maintaining accurate billing records.
In response to these findings, NEPRA has initiated legal action against several DISCOs, including K-Electric (KE), which supplies power to Karachi, and other major power distribution companies. The regulator has vowed to take firm action to hold those responsible accountable for exploiting consumers and to ensure that such practices are curbed in the future.
The power companies’ overbilling scandal has sparked outrage across Pakistan, with consumers demanding justice and immediate corrective measures. A committee has been constituted to probe the matter further, and there are growing calls for stringent regulatory reforms to prevent such incidents from recurring.
For millions of Pakistani consumers struggling with the high cost of electricity, this revelation of systematic overbilling has come as a significant blow, deepening public distrust in the country’s power sector. NEPRA’s ongoing investigation is expected to shed more light on the issue and offer recommendations for reform.
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