ISLAMABAD: The sector incurred excessive losses amounting to Rs 276 billion, surpassing the NEPRA-approved loss limits.
Insufficient recovery of billed amount by DISCOs led to a financial shortfall of Rs 314 billion.
DISCOs inefficiencies contributed to an increase in circular debt by Rs 591 billion on account of excessive T&D losses and short recovery of billed amount. As of June 30, 2024, the total circular debt surged to Rs 2,393.37 billion.
DISCOs’ combined receivables accumulated to Rs 2,017.065 billion by June 30, 2024.
Transmission constraints resulted in a financial impact of Rs 60.386 billion.
• Operation of Guddu 747 in open cycle mode caused a financial loss of more than Rs 7.9 billion.The absence of the Guddu 747 MW steam turbine led to an additional financial impact of around Rs 86 billion due to expensive generation costs.
Non-Project Missed Volume (NPMV) payments contributed to a financial loss of around PKR 39.5 billion during FY 2023-24. Part Load Adjustment Charges (PLAC) added Rs 55.671 billion to the financial burden during FY 2023-24. Underutilization of Lucky Electric Power Company Limited, due to the unavailability of local Thar coal since its commercial operation date, caused a financial loss of around PKR 15 billion.
Consumers paid around Rs 15.28/kWh in supplemental charges (taxes, surcharges, and levies etc.) during FY 2023-24. The sector witnessed 146 fatal accidents across XWDISCOs during FY 2023-24.NEPRA recommended that autonomy be granted to XWDISCOs to enhance governance and operational performance.
NEPRA recommended that the performance of the Board of Directors (BODs) and top management of DISCOs be evaluated bi-annually based on Key Performance Indicators (KPIs).
NEPRA reported that the absence of full-time Managing Directors (MD) in NTDC and CEOs in XWDISCOs has negatively impacted the performance of public sector entities.
