Discos Accused of Withholding Data, Hindering Audit Settlement: Power Division Admits Before PAC

power-division

ISLAMABAD: The Power Division on Thursday conceded that power Distribution Companies (Discos) are deliberately withholding critical data from the Auditor General, obstructing the settlement of key audit paras.

Appearing before the Public Accounts Committee (PAC), chaired by Shahida Begum of JUI-F, Secretary Power Dr. Fakhre Alam Irfan responded to concerns over unresolved audit paras related to Discos for FY 2023–24. The audit report of the Power Division and its attached departments contains 579 paras — 357 from compliance audits and the remainder from other audit categories. To date, PAC has discussed only 11 compliance paras during its sessions on February 25 and July 22, 2025.

Audit officials updated the committee on 18 paras amounting to Rs 178.193 billion. Of these, four paras worth Rs 77.05 million were recommended for settlement after verification and recovery; 11 paras amounting to Rs 1.525 billion were discussed with directives issued at the DAC level; 546 paras worth Rs 7.024 billion require further follow-up; and 11 paras have been referred to courts, NAB, and FIA. Audit authorities also reported identified recoveries of Rs 8.698 billion, while actual recoveries made stand at Rs 9.340 billion.

Committee members strongly criticized Disco chiefs for failing to provide essential records needed to settle audit paras, including documents on running consumers and the segregation of electricity bills amounting to Rs 9.142 billion. The PAC noted that companies credited substantial sums to consumers by breaking down accumulated units from more than two months—yet failed to act against meter readers, inspectors, and SDOs responsible for timely and accurate billing.

The Director General (Audit), Power Sector, informed the committee that Discos withheld billing data until last week, further delaying audit settlements.

Secretary Power acknowledged the delays, adding that new rules now require Discos to certify that all relevant documents have been shared in hard and soft copies. He admitted that the companies’ failure to provide complete documentation is the primary cause of prolonged audit pendency.

PAC member Syed Hasan Tariq accused the Secretary of shielding Disco CEOs, whom he held responsible for systemic mismanagement. The PAC Chairperson also expressed concern over the deteriorating economic situation and worsening circular debt, calling it a reflection of the sector’s inefficiency.

The Secretary denied defending the CEOs and pledged full compliance with PAC directives.

The committee further admonished the CEO of MEPCO for failing to submit the names of 43 officials involved in overbilling. The Secretary added that severe understaffing across Discos continues to hamper operational performance.

Story by Mushtaq Ghumman

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