‘K-Electric loses Rs44bn to theft, billing flaws in 2024’

ISLAMABAD: Karachi Electric has racked up a huge Rs44 billion in losses during 2024 alone due to unpaid bills, rampant electricity theft through the “kunda” system, and non-metered usage, the utility’s top officials told a parliamentary committee on Monday.

The National Assembly’s Standing Committee on Government Assurances, chaired by MNA Nuzhat Sadiq, slammed KESC for compounding public misery with unannounced load-shedding and average-based billing, despite its failure to curb systemic inefficiencies. The panel directed the company to immediately end unscheduled outages and coordinate with local representatives to bring more consumers into the metered billing network. Lawmakers emphasized that paying consumers must not be penalized for the company’s inability to control power theft or recover dues. The committee vowed to revisit KESC’s compliance with its recommendations after one month.

Notably, in its recent petition before the NEPRA, the utility has reported recovery losses of huge Rs122.77 billion (2017-23), and now in 2024, the official of the utility reported additional Rs44 billion losses. Since 2006, KE consumers have received Rs804billion in federal tariff differential subsidies (TDS) to bridge the gap between the high cost of KE’s power generation and the uniform national tariff. It is still struggling with recoveries.

The NA committee also ordered the Ministry of Communications and NationalHighway Authority (NHA) to expedite rehabilitation of highways damaged by floods in Sindh and the dilapidated Chakdara–Upper Dir Road in KP. With monsoon season approaching, it called for a strategic maintenance plan and demanded a full breakdown of the NHA’s routine repair budget.

On another issue, the Ministry of Overseas Pakistanis informed the committee that instead of Mansehra, the promised Protectorate of Emigrants office will be established in Abbottabad — just 24 kilometers away — to serve the Hazara Division. Lawmakers accepted the revision but demanded prompt execution.

Regarding overbilling of gas in Balochistan, officials from SSGCL said a special tariff — enforced by a Balochistan High Court directive — is now under review in the Supreme Court. They assured that billing will be adjusted in accordance with the court’s final ruling.

The meeting was attended by a cross-section of MNAs, including Shahida Rehmani, Aasia Ishaque Siddiqui, Sardar Nabil Gabol, and others, reflecting growing political pressure for accountability in key public service sectors.