Electricity theft and defaults have long been a pressing issue in Pakistan, costing the nation billions in unpaid dues. The federal government has now decided to escalate its efforts in a comprehensive crackdown on this problem.
The Scale of the Issue
Power Distribution Companies face an uphill battle in recovering outstanding dues. They have managed to recoup a mere 4.5 percent of the total recordable amount of Rs. 1.05 trillion, amounting to approximately Rs 50 billion.
Challenges and Culprits
The prevalent power theft can be attributed to cooling loads and local impunity. With winter approaching, there are concerns that the monthly payoff from the anti-theft campaign may decrease as the incentive for theft diminishes.
Taking Action: Discos’ Efforts
DISCOS have arrested 29,541 delinquent consumers and 20 employees while suspending an additional 272 employees, including officers, as of November. However, these actions alone may not effectively curb the issue.
The Need for a Comprehensive Approach
To combat electricity theft comprehensively, there is a pressing need for a “whole of government” approach. Without such intervention, losses could soar by Rs. 589 billion.
The systemized nature of electricity theft, fueled by existing loopholes and collusion among government officials, exacerbates the situation.
Innovative Measures and Proposals
To address this complex issue, some quarters within the government are advocating for a comprehensive review of the ongoing campaign.
Proposals include:
- Introducing innovative approaches.
- Implementing stringent measures against complicit employees.
- Sharing CNICs of defaulters with the Ministry of Interior to block bank transactions and impose travel bans.
- Conducting a ‘name and shame’ campaign through the Ministry of Information and Broadcasting.
The battle against electricity theft and defaults is far from over, but the government’s recent measures signal a renewed commitment to tackling this pressing issue.
With concrete actions and a comprehensive approach, Pakistan can significantly reduce its losses and ensure a fair and sustainable energy distribution system.
