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Protected Consumers Surprised by Enormous Electricity Bills

Over 300,000 electricity consumers lost their protected status in June due to a new billing system introduced by distribution companies (DISCOs), as directed by the Ministry of Energy. The change stemmed from a Pro-Rata Billing Mechanism mandated in a March 27 letter from the Ministry to DISCOs, aimed initially at safeguarding lower-usage consumers from overcharges due to delayed meter readings.
 Electricity Bills

Protected Customers Stunned by Massive Electricity Bills

Ironically, the new mechanism led to inflated bills for many, with consumers being billed for additional units to align with a 30-day cycle, despite the intention to prevent overcharging. As a result, 326,350 protected consumers ended up paying higher bills. Typically, protected consumers, including low-income households, benefit from subsidized rates or exemptions to ensure affordable access to essential services like electricity.

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Affected consumers included 66,447 from Peshawar Electric Supply Company (Pesco), 63,265 from Gujranwala Electric Power Company (Gepco), 62,765 from Multan Electric Power Company (Mepco), 49,753 from Lahore Electric Supply Company (Lesco), and 27,654 from Faisalabad Electric Supply Company (Fesco). Additionally, consumers from other DISCOs like Hyderabad Electric Supply Company (Hesco), Tribal Areas Electric Supply Company (Tesco), Sukkur Electric Power Company (Sepco), Quetta Electric Supply Company (Qesco), and Islamabad Electric Supply Company (IESCO) were also affected.

Electricity Bills

Protected Customers Stunned by Massive Electricity Bills

The National Electric Power Regulatory Authority (Nepra) had raised concerns about the new system, but DISCOs were pressured by consultants from the Power Planning and Monitoring Company (PPMC) to implement it swiftly. Despite resistance, the pro-rata billing was rolled out with support from Pakistan Information Technology Company (PITC). Sources indicated that PPMC consultants had retired from senior roles in the power sector a decade ago.

Prime Minister Shehbaz Sharif responded to the controversy during a meeting on power sector reforms and solarisation, announcing stringent action against officials and employees involved in overbilling. He directed the Federal Investigation Agency (FIA) to identify and suspend such individuals, emphasizing that those responsible for excessive charges would face severe consequences.

Federal Minister for Interior Mohsin Naqvi echoed these sentiments, ordering immediate legal action against officers and staff implicated in overbilling complaints, particularly affecting consumers using up to 200 units of electricity. Naqvi labeled the reclassification of protected consumers as criminal and stressed the need for unbiased investigations and appropriate actions to rectify the situation promptly.

The incidents of overbilling have imposed significant financial burdens on already vulnerable consumers, prompting calls for urgent redressal of grievances and justice for affected parties.