A recent report has revealed that power companies in Pakistan overbilled consumers by Rs 8.44 billion. These companies, known as DISCOs, have been found guilty of overcharging their customers to cover up their own losses. The overbilling occurred in several areas, including Hyderabad, Peshawar, Lahore, and Islamabad. This has raised serious concerns about the transparency and fairness of these companies.
| Region | Amount Overbilled |
| Hyderabad (HESCO) | Rs 1.73 billion |
| Peshawar (PESCO) | Rs 2.39 billion |
| Lahore | Over Rs 3 billion combined |
| Islamabad | Over Rs 3 billion combined |
Contents
How DISCOs Overbilled Consumers
Power distribution companies (DISCOs) were found to have overbilled their customers during July and August of 2023. This was done to hide their line losses, which occur when electricity is lost during transmission. Instead of absorbing these losses, the companies passed them on to consumers, resulting in higher bills. The inquiry into this matter began after customers across Pakistan complained about unusually high and inaccurate bills.
Regions Affected by Overbilling
The overbilling issue affected millions of people across different regions of Pakistan. The Hyderabad Electric Supply Company (HESCO) and Peshawar Electric Supply Company (PESCO) were among the worst offenders, with both companies overcharging by billions. Other companies, such as FESCO, GEPCO, MEPCO, and QESCO, were also involved in similar practices. This widespread overbilling has sparked outrage among consumers who have been unfairly charged.
- Hyderabad (HESCO): Rs 1.73 billion overbilled.
- Peshawar (PESCO): Rs 2.39 billion overbilled.
- Lahore and Islamabad: Over Rs 3 billion combined.
- Other DISCOs: Also involved in overbilling practices.
NEPRA’s Role in Investigating Overbilling
The National Electric Power Regulatory Authority (NEPRA) launched an inquiry into the overbilling issue after receiving numerous complaints. NEPRA held hearings to understand how DISCOs had overcharged consumers. During these hearings, it was discovered that in some cases, the actual meter readings were not reflected in the bills. In other cases, the snapshots of the meter readings were either unclear or not taken at all.
Also Read: Breaking News: Nepra Fines Fesco Rs 10 Million for Safety Violations
Legal Action and Consequences
As a result of the investigation, NEPRA has decided to take legal action against K-Electric and other DISCOs involved in the overbilling. The regulatory body emphasized that no power distribution company in Pakistan has been charging its customers correctly. This has led to widespread frustration among consumers, many of whom feel cheated by the system. NEPRA is determined to hold these companies accountable for their actions.
Conclusion
The discovery of overbilling by DISCOs has highlighted a major problem in Pakistan’s power sector. Consumers have been unfairly charged billions of rupees to cover up the losses of these companies. NEPRA’s investigation and legal action are steps in the right direction to ensure transparency and fairness in the billing process. Moving forward, it is crucial that DISCOs take responsibility for their losses and avoid passing them on to the consumers.