The Nepra T&D Losses FY25 report has raised serious concerns. The National Electric Power Regulatory Authority reported Rs 265 billion in transmission and distribution losses. As a result, it has called for urgent reforms in power distribution companies.
According to the performance review for FY 2024-25, no DISCO met its loss reduction targets. Despite repeated instructions, companies failed to control inefficiencies. Therefore, Nepra has proposed major structural changes.
Major Loss Contributors
Several companies posted alarming losses. For example, Peshawar Electric Supply Company (PESCO) recorded Rs 87.48 billion in losses. Similarly, Quetta Electric Supply Company (QESCO) reported Rs 52.41 billion.
In addition, Sukkur Electric Power Company (SEPCO) and Lahore Electric Supply Company (LESCO) also showed heavy losses. Meanwhile, K-Electric posted a 14.73% T&D loss, slightly above its target. However, its revised targets remain under review in court.
Recoveries and Reliability Gaps
On a positive note, some companies achieved full recovery. Islamabad Electric Supply Company (IESCO) and Gujranwala Electric Power Company (GEPCO) reached 100% recovery. However, QESCO recorded only 38.7%, creating a Rs 132 billion impact.
Reliability standards also slipped. Most DISCOs failed SAIFI and SAIDI benchmarks. Moreover, over 128,000 paid consumers still await new connections. This delay has frustrated many households and businesses.
Load Shedding, Safety, and Reform Call
Nepra questioned continued load shedding despite adequate power supply. Consequently, it fined PESCO, QESCO, SEPCO, HESCO, and K-Electric. Some firms have appealed these penalties. The sector also saw 7.42 million complaints. Sadly, 118 fatalities occurred, including workers and citizens.
Nepra believes governance reforms can fix these problems. It has urged splitting large DISCOs, speeding up privatization, and ending the AT&C-based load shedding policy introduced in 2013. In short, strong accountability and technology upgrades can improve service for everyone.
