The National Electric Power Regulatory Authority (Nepra) has imposed heavy fines of Rs. 248 million on two power distribution companies for exploiting consumers through overbilling and unlawful loadshedding.
In its orders issued after detailed proceedings, Nepra fined the Gujranwala Electric Power Company (Gepco) Rs. 200 million for overbilling customers on faulty and slow meters while the Sukkur Electric Power Company (Sepco) was fined Rs. 48 million for carrying out illegal load shedding on commercial grounds.
The regulator began investigating Gepco in August 2022 after receiving complaints from nearly 1,300 consumers who were charged extra bills due to slow energy meters. Despite repeated directives, Gepco continued issuing “detection bills” for more than two billing cycles, in violation of the Consumer Service Manual (CSM).
Nepra stated that Gepco actions not only burdened consumers financially but also damaged the company’s credibility. The authority directed Gepco to refund or adjust the excess amounts charged within 30 days. Failure to comply will attract an additional fine of Rs. 100,000 per day.
Meanwhile, Sepco was penalized for continuing Aggregate Technical and Commercial (ATC) loss-based load shedding, despite Nepra clear instructions in April 2024 to stop the practice. Sepco had argued that the Ministry of Energy initiated this policy back in 2014 but the regulator rejected the justification.
READ MORE: Pakistan to Auction 800MW Power Wheeling Rights
According to Nepra, Sepco carried out excessive and random load shedding without improving the performance of feeders, causing inconvenience even to regular bill-paying consumers. The company has been asked to deposit the fine within 15 days or face recovery through legal means.
Nepra further warned that any continued violation would lead to additional fines of Rs. 100,000 per day.
