Circular Debt Will be Reduced to Rs. 225 Billion Thanks to Surging Revenues: Omar Ayub

Reiterating the government’s firm commitment to bring reforms in the power sector, including indiscriminate action against power pilferers and recovery from defaulters, Minister for Power Division Omar Ayub Khan has said that the circular debt will be brought down to Rs 225 billion from the existing Rs 603 billion by December 31, 2019.

While talking to the media, the minister said the circular debt escalated to Rs 450 in just one year due to delay in tariff determination, the absence of a proper plan to stop power pilferage and power supply to high loss feeders.

He said the past government did not pay attention to power sector recoveries besides continuous power supply to high loss feeders.

Omar added that owing to the efforts of the incumbent government, the power sector revenue witnessed a Rs. 40 billion surge during the past three months. Kunda culture is being completely eliminated with the support of public representatives and extensive drive against power theft, he said.

The minister said special anti-power theft campaign has been launched in interior Sindh, Khyber-Pakhtunkhwa and FATA.

He said that over 20,000 First Investigation Reports (FIRs) were lodged against power pilferers besides arresting nearly 2000 of the accused. He said raids were also being conducted during night time to curb the menace of power theft. About 450 officials of various distribution companies were also terminated for being involved in power theft.

The minister said that the total installed capacity stood at 31,000 MW and 60 percent of the electricity was being generated from imported fossil fuel, 30 percent from hydel, 6 percent from nuclear and the remaining 4 percent from Renewable Energy sources.

He said transmission lines are also being upgraded adding that arrangements have been finalized for Matiari-Lahore Transmission line. Groundbreaking of the project is expected in the next two months.


  • that “surge in revenue” will be achieved via Price increments in consumer’s bills as approved by NEPRA. approx 2.5 to 2.75… FYI

  • that “surge in revenue” will be achieved via Price increments in consumer’s bills as approved by NEPRA. approx 2.5 to 2.75… FYI


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