Nepra fines power firms Rs63m for regulatory violations

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has imposed fines totaling Rs63 million on multiple power distribution companies for violating regulatory standards, citing non-compliance with performance benchmarks, safety codes and consumer service obligations.

Multan Electric Power Company (Mepco) was fined Rs13 million for failing to meet safety and service standards outlined in its license. The penalty follows the company’s inadequate response to a show-cause notice issued on Aug 30, 2023. Nepra also directed Mepco to compensate families of deceased public persons with Rs4 million each and provide jobs to their next of kin, matching benefits given to employees’ families.

The company has been given two months to submit proof of compliance and must pay the fine within 15 days to avoid further legal action.

Nepra penalised several other power firms for safety violations. Mepco, Tribal Areas Electric Supply Company (Tesco), Hyderabad Electric Supply Company Limited (Hesco) and Peshawar Electric Supply Company (Pesco) were each fined Rs10 million for failing to fully ground High-Tension (HT) and Low-Tension (LT) poles and structures. Their responses to the regulator’s inquiries were deemed unsatisfactory.

Nepra ordered full grounding of steel structures within three months and PCC poles within a year, warning of further penalties in case of non-compliance.

Hesco was further fined Rs10 million for failing to establish a Health, Safety and Environment Directorate, a mandatory requirement. The company must pay the fine within two weeks or face legal consequences.

Nepra has reiterated its commitment to enforcing safety and service regulations to ensure public protection and improved utility standards.

Failure to adhere to these directives may lead to additional regulatory actions against non-compliant licensees.