Islamabad, Feb 9: The issue of outstanding power sector receivables linked to agricultural tubewells in Balochistan has reached a critical point, with unpaid dues now standing at Rs530 billion due to non-payment by both farmers and the provincial government.

Despite an agreement between the federal and Balochistan governments to solarise agricultural tubewells, many consumers have failed to pay their required Rs10,000 monthly contribution, along with additional charges exceeding Rs75,000.

READ MORE: Govt Achieves Highest Petroleum Levy Collection in Fiscal H1

As per NEPRA’s Consumer Service Manual, power distribution companies have the authority to disconnect defaulters to prevent further accumulation of arrears. However, Quetta Electric Supply Company (Qesco) has opted for a more lenient approach, reducing power supply hours instead of completely cutting off non-paying agricultural consumers.

The financial strain on Qesco has been exacerbated by the Balochistan government’s failure to pay its share of electricity subsidies since July 2024. An earlier agreement mandated an additional Rs8 billion in grants from both the federal and provincial governments to extend electricity supply to agricultural consumers, but these payments remain outstanding.

To address the crisis, Qesco has urged the federal government to bring the issue before the Cabinet, requesting that subsidy payments continue under the existing formula until the solarisation process is completed. Additionally, Qesco has called on the Power Division to press the Balochistan government for the Rs56 billion in overdue subsidies and the release of the committed Rs8 billion grant.

With Qesco already facing financial difficulties, resolving these issues is crucial to ensuring continued power supply to Balochistan’s agricultural sector while preventing further economic strain on the power sector.

 

Share.
Leave A Reply Cancel Reply
Exit mobile version