ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has announced plans to take legal action against Distribution Companies (DISCOs) for contributing Rs276 billion to the circular debt through increased Transmission and Distribution (T&D) losses in FY 2023-24. This move follows a Circular Debt report for June 2024, reviewed by Nepra.
The report reveals that DISCOs’ T&D losses rose to 18.31% in FY 2023-24, up from 16.84% the previous year, surpassing Nepra’s target of 11.77% by 6.54%. Despite an allocated investment of Rs163.1 billion to improve infrastructure, DISCOs’ efficiency remains low, with unrecovered amounts climbing to Rs315 billion from Rs236 billion last year. Nepra has urged the Secretary Power Division to address DISCO inefficiencies to protect consumers and the national exchequer.
Story by Mushtaq Ghumman
