A plan to crackdown on power theft and enhance revenue collection for public relief has been revealed by Pakistan. The presentation of the strategy took place at a news briefing hosted by Minister for Power and Energy, Muhammad Ali, and Caretaker Minister for Information and Broadcasting, Murtaza Solangi.
Ali revealed that distribution companies in Pakistan incur a substantial loss of 589 billion rupees due to power theft and outstanding bills. To address this issue, the government has outlined a three-fold approach:
1. Utilization of Technology
Areas with high power theft will see the introduction of technology-based solutions to combat unauthorized power consumption.
2. Involvement of Private Sector
In areas with rampant theft, the private sector will assume responsibility for power distribution to enhance efficiency and accountability.
3. Enforcing Measures
Strict measures will be implemented in regions with widespread theft to encourage prompt bill payments and deter power theft. Minister Ali emphasized the urgency of reforming the energy sector, which includes evaluating the performance of power distribution companies and reorganizing implicated officials. Collaboration with provinces to establish Task Forces and develop the Electricity Theft Control Act is underway. Several options, such as privatization and decentralization of power sector responsibilities, are being explored to enhance performance. The crackdown on power theft involves the compilation of lists of companies involved and ensuring that public officials do not receive complimentary electricity.
Minister for Information and Broadcasting, Murtaza Solangi, affirmed the government’s commitment to constitutional norms and transparency. The initiative underscores the government’s resolve to address financial losses in the power sector and ensure equitable power distribution throughout Pakistan. By introducing technological solutions, involving the private sector, and enforcing measures, the government aims to recuperate revenues and establish a more equitable power distribution system.