Islamabad 12 August: The Senate Standing Committee on Power, praised the Power Division for achieving what it described as “unprecedented” reforms, marking the largest reduction in Pakistan’s power sector losses at Rs191 billion.
During a session attended by committee members and the Energy Adviser to the Khyber Pakhtunkhwa government, Federal Minister for Power Sardar Awais Ahmad Khan Leghari received praise for spearheading significant enhancements in efficiency and financial oversight.
READ MORE: Power Sector Circular Debt Cut by Rs. 780 Billion
Senator Mohsin Aziz committed to presenting formal certificates of appreciation to the Power Division, recognizing its recent successes. The committee also celebrated the government’s move to lower electricity wheeling charges to a historic low and hailed the erasure of Rs780 billion from the national circular debt as a groundbreaking achievement.
Lawmakers emphasized that these reforms signal a pivotal shift in the energy sector, addressing persistent issues and establishing a new benchmark for governance within the industry.
The reduction stems from lower line losses, improved bill recoveries, and savings from renegotiated contracts with Independent Power Producers (IPPs). Enhanced performance by Distribution Companies (DISCOs) contributed Rs. 200 billion to the savings, with additional measures accounting for the remainder.
To further tackle the debt, the government is raising Rs. 1.275 trillion in fresh bank loans, a move that has sparked concerns among industrialists who warn that this relief may be temporary, as it relies on borrowing rather than structural reforms.
