ISLAMABAD: In a major move aimed at improving operational efficiency and reducing long-term financial liabilities, the Power Division has permitted all Distribution Companies (Discos) to outsource manpower to third parties based on their operational needs.
The decision comes amid a severe staff shortage across Discos, which has hampered maintenance and development work, causing delays in repairs and service delivery to consumers despite timely bill payments.
Appearing before the National Assembly Standing Committee on Power, Secretary Power Division Dr. Fakhre Alam Irfan confirmed that Discos have been allowed to engage manpower through third-party contractors. In cases of performance issues, the concerned Disco will be able to request staff replacements through the contractor.
Committee Chairman Muhammad Idrees and other members voiced concern over the persistent understaffing in their constituencies, noting that inadequate personnel is one of the main causes of delays in fault rectification and repair work.
According to the Power Division, outsourced workers will receive technical training, while existing staff currently handling meter reading and bill distribution will be reassigned to field and technical duties. Discussions are also underway with Pakistan Post to take over bill distribution nationwide — a task currently managed by MEPCO.
Power Market Opening and Reforms
During deliberations on the “Multi-Vendor Electricity Distribution Bill, 2025”, introduced by MNA Shahida Rehmani, Dr. Irfan informed the committee that Pakistan’s electricity market has been opened to competition, with the first auction of up to 200 MW planned for January or February next year.
He added that the federal cabinet has already approved the Integrated Generation Capacity Expansion Plan (IGCEP) 2025–35, which is now under NEPRA’s review. Once cleared, the Competitive Trading Bilateral Contract Market (CTBCM) framework will be officially notified.
A seminar addressing industry concerns over CTBCM was recently held in Islamabad, with another scheduled in Karachi today, to be attended by Federal Minister for Power Sardar Awais Ahmad Khan Leghari.
Addressing Solar and System Losses
Responding to committee questions, Additional Secretary Imtiaz Shah said the rapid growth of solar net metering — now at 6,000 MW, up from 1,200–1,300 MW — is beginning to strain grid stability. Off-grid solar capacity is estimated at 12,000 MW, based on satellite data.
Dr. Irfan noted that electricity losses, which reached Rs600 billion in 2024, have since been reduced to Rs397 billion, with further cuts targeted through reforms and accountability measures.
Relief and Operational Directions
In consultation with the IMF, the government has decided to waive electricity bills for domestic consumers in flood-affected areas for August 2025. Those who have already paid will receive adjustments, while industrial and commercial users will be allowed to pay in installments.
The Power Division has also instructed Discos to avoid unscheduled load-shedding in areas where line losses are 20% or below, directing them instead to adopt targeted measures in high-loss areas so that bill-paying consumers are not unfairly affected.
Regional Disco Performance and Accountability
The CEO of Hyderabad Electric Supply Company (HESCO) briefed the committee on steps taken to curb discriminatory load-shedding, following concerns raised by MNA Syed Hussain Tariq. He acknowledged recent improvements and confirmed an investment plan to restructure HESCO, under which 78 feeders will be exempted from load-shedding this year.
The committee instructed the Secretary Power Division to meet with MNA Tariq to review the replacement of outdated wires and anti-theft measures, with a progress report to be submitted.
Meanwhile, the CEO of Sukkur Electric Supply Company (SEPCO) updated the committee on pending electrification projects initiated in 2021 by former MPA Muhammad Shaharyar Khan Mahar and MNA Nauman Islam Shaikh. Many projects, launched under federal development programs, remain incomplete due to administrative delays — some 90–99% finished but stalled following changes in SEPCO’s management and board.
The Standing Committee directed the Power Division to convene a detailed meeting in Islamabad to review SEPCO’s district-level electricity issues and present recommendations for timely completion and system improvement.
Story by Mushtaq Ghumman