“Under pressure”Nepra demands action from KE over excessive load shedding

ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) has taken serious notice of the deteriorating performance of K-Electric, particularly in connection with persistent and excessive load shedding across Karachi. In a strongly worded letter addressed to the utility’s CEO, NEPRA’s Additional Director General, Iftikhar Ali Khan, cited a surge in public complaints and urged the company to ensure a reliable electricity supply to the city’s residents.
According to NEPRA, several areas of Karachi are experiencing daily power outages exceeding 12 hours, with individual spells ranging between 2.5 to 3 hours. These extended blackouts are occurring during a period of extreme summer heat, exacerbating public hardship and contributing to deteriorating law and order, economic disruption, and rising frustration among citizens.
NEPRA noted that despite repeated assurances, K-Electric’s overall operational performance continues to decline. Key performance indicators such as transmission and distribution (T&D) losses, recovery rates, and load-shedding-free zones have all shown negative trends. For instance, areas, previously reported by K-Electric to be free of load shedding have declined from 76% to 70%—a figure now trailing behind several public-sector distribution companies (DISCOs).
One of the core objectives of K-Electric’s privatization was to ensure improved efficiency and uninterrupted service delivery. However, NEPRA stated that current trends undermine those goals and raise questions about K-Electric’s capacity and commitment to meet its obligations.
NEPRA also expressed concern over the utility’s increasing dependence on electricity purchased from the National Transmission and Despatch Company (NTDC), which offers cheaper power compared to K-Electric’s own generation. Despite this cost advantage, K-Electric has failed to provide any significant relief to its consumers in terms of continuous power supply. Currently, NTDC has the capacity to supply up to 1600 MW to K-Electric at lower tariffs, but the utility is reportedly not utilizing this full capacity, continuing instead to impose extended load shedding.
The regulator further highlighted that K-Electric is operating several of its own generation units at partial load—despite ongoing outages—leading to inefficient fuel usage and higher generation costs. These costs, including part-load adjustment charges, are passed on to consumers, further penalizing them in the process.
NEPRA emphasized that managing T&D losses and improving recovery rates are already accounted for in the utility’s allowed revenue requirement. Using feeder shutdowns as a means of forcing recoveries or minimizing losses, the authority said, is neither legally justifiable nor ethically acceptable. Such practices disproportionately affect paying consumers and erode public trust.
The statement also recalled that NEPRA had previously concluded proceedings against multiple DISCOs, including K-Electric, for unjustified load shedding, resulting in financial penalties. Despite this, K-Electric has continued to seek regulatory relief instead of addressing the underlying causes of its operational failures.
NEPRA has now directed K-Electric to take immediate corrective measures. These include the elimination of unjustified load shedding, significant reductions in T&D losses, and improved recovery efforts—all of which are essential to restoring public confidence and meeting regulatory standards.
Additionally, NEPRA noted that the Fuel Charges Adjustment (FCA) for K-Electric has remained negative for several months, leading to lower electricity bills. It dismissed K-Electric’s argument that high electricity tariffs are driving theft and non-payment, stating that such claims lack merit.
NEPRA has urged K-Electric to act swiftly in the public interest and improve its performance in line with its responsibilities as a privatized utility and a key player in Pakistan’s power sector. Ends