KARACHI: The National Electric Power Regulatory Authority (NEPRA) has imposed a fine of Rs25 million on K-Electric (KE) for failing to meet its operational responsibilities during the nationwide power breakdown in January 2023. The utility has been directed to pay the penalty within 15 days.
According to a notification issued by NEPRA, the decision followed an inquiry revealing that KE’s repeated attempts to restore electricity through its black start facilities — systems designed to restart power generation after a complete blackout — were unsuccessful due to frequent tripping.
“Repeated failures of the black start facilities indicate a lack of mock testing, which is essential to ensure system readiness in blackout scenarios,” the notification stated, emphasizing that proper testing is critical for maintaining the reliability of power restoration mechanisms.
KE, in its defense, attributed the breakdown to disturbances in the National Transmission and Dispatch Company’s (NTDC) 500kV network, claiming the collapse originated from the national grid. However, NEPRA dismissed this justification, noting that while interconnected systems are interdependent, KE’s argument raised serious concerns about its own preparedness and resilience as a vertically integrated utility.
The regulator ruled that KE violated multiple provisions of the NEPRA Act, the Generation Licensing Rules (2000), and clauses of the Grid Code, resulting in the Rs25m penalty. NEPRA further warned that failure to pay would result in recovery under Section 41 of the NEPRA Act as arrears of land revenue.
Responding to the decision, a K-Electric spokesperson described the fine as “surprising,” adding that the company was reviewing the detailed order and would “determine the future course of action accordingly.”
Story by Tahir Sherani
