ISLAMABAD : The ” Philosophers” of Power Division and its affiliated entities — CPPA-G and PPMC — have reportedly presented exaggerated recovery figures to Power Minister Sardar Awais Leghari, particularly concerning five Punjab-based Distribution Companies (Discos).
On Thursday, Minister Leghari acknowledged during a press conference that, despite some improvements, the government is still grappling with significant financial losses and widespread electricity theft across state-run Discos.
He revealed that cumulative losses, including theft, amounted to Rs 591 billion in FY 2023-24. Although these losses have reportedly dropped to Rs 399 billion in FY 2024-25, the figure remains a major burden on the power sector.
According to official data, recovery rates for five major Discos —IESCO, LESCO, GEPCO, FESCO and MEPCO— were shown to exceed 100%, despite the fact that collections for June 2025 have not yet been completed. The overall recovery rate was cited at 96.6 per cent.
Leghari also highlighted that power theft in these areas totaled Rs 276 billion last year, while only Rs 11 billion has been recovered this year — indicating a limited impact of the government’s anti-theft initiatives.
The government is currently pursuing privatization of these financially strained Discos in hopes of improving efficiency and reducing fiscal stress. However, analysts warn that the reported recovery gains may be overstated.
Industry experts argue that the inflated recovery figures include collections from previous fiscal years, artificially inflating the current year’s performance. When adjusted, actual recovery rates are estimated to range between 92 per cent and 97 per cent.
According to documents, amount of total billing was Rs 3.925 trillion, of which share of IESCO was Rs 502.75 billion, LESCO, Rs 995.95 billion, GEPCO, Rs 452.72 billion, FESCO 580.55 billion, MEPCO, Rs 620.32 billion, PESCO, Rs 29.8 billion, HESCO, Rs 156.43 billion, QESCO, Rs 124.60 billion, SEPCO, Rs 92.82 billion and TESCO, Rs 49.25 billion. The figures show reduction in recovery of Rs 132 billion between billing and recovery for FY 2024–25.
The figures indicate a recovery shortfall of Rs 132 billion between billing and collection in FY 2024–25.
Meanwhile, concerns about transparency persist, as the Power Division has not released its monthly circular debt report since March 2025. This report is typically a crucial indicator of the sector’s evolving financial health.
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