Losses of state-owned electricity distribution companies (DISCOs) rose sharply to Rs. 143 billion during the first nine months of the current financial year, government sources informed ProPakistani.
This marks a big increase of Rs. 41 billion compared to Rs. 102 billion during the same period last year.
Despite the increase in overall losses, a significant improvement was recorded in recovery performance.
According to sources, Discos’ under-recoveries dropped by Rs. 184 billion during 9MFY25. Under-recoveries amounted to Rs. 78 billion during this period, compared to Rs. 262 billion recorded in the same period last year.
Sources added that the losses and under-recoveries form part of the broader power sector circular debt data.
To address the financial strain in the sector, the government has already raised the basic electricity tariff by Rs. 7.12 per unit during the ongoing fiscal year, sources added.
First thing
Electricity is a public utility. It’s not a business. You are not incurring losses or profits but accessing a service.
And they should be used to provide electricity at affordable rates. Otherwise the consumption will airways decrease