Discos Refund Rs47.81 Billion to Over 278,000 Consumers After Overbilling, PAC Told

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ISLAMABAD: Pakistan’s power distribution companies (Discos) have refunded more than Rs47.81 billion to over 278,000 electricity consumers following the detection of widespread overbilling, the Public Accounts Committee (PAC) was informed on Thursday.

During a meeting chaired by Ms Shahida Akhtar Ali at Parliament House, the committee reviewed the Power Division’s Audit Report for 2024–25, which highlighted serious irregularities in electricity billing practices across several distribution companies.

Officials from the Auditor General of Pakistan told the committee that overbilling cases involved incorrect meter readings, inflated detection charges, and subsequent credit adjustments made by the distribution companies. The audit revealed that Rs47.81 billion had been returned to affected consumers after the irregularities were identified.

According to the audit findings, the overbilling was allegedly used to conceal actual transmission and distribution (T&D) losses and electricity theft, raising serious concerns about governance and accountability within the power sector.

Among the utilities, the Lahore Electric Supply Company (LESCO) accounted for the largest share of refunds, reimbursing approximately Rs45.5 billion. Refunds and billing adjustments were also made by Hyderabad Electric Supply Company (HESCO), Multan Electric Power Company (MEPCO), Peshawar Electric Supply Company (PESCO), and Quetta Electric Supply Company (QESCO).

The committee was informed that no significant disciplinary action had yet been taken against officials involved in the overbilling and subsequent credit adjustment process.

PAC members strongly criticized the practice, describing it as a systematic exploitation of electricity consumers.

Senator Afnan Ullah said the scale of overbilling was much larger than previously understood, alleging that many low-income families had been forced to sell personal belongings to pay inflated electricity bills. He added that consumers who failed to challenge excessive bills often did not receive refunds.

Senator Saleem Mandviwalla said the authorities appeared to be treating the Rs47 billion refund as a routine administrative matter without recognizing the financial hardship imposed on consumers. He called for strict action against those responsible and demanded a comprehensive review of all refund cases to determine the full extent of the malpractice.

Committee members Shazia Marri and Senator Bilal said the audit findings validated long-standing public concerns that consumers had routinely been billed for electricity they had never consumed.

Chairperson Shahida Akhtar Ali said the distribution companies had imposed an unjust financial burden on consumers by charging them for unconsumed electricity and stressed that those responsible must be held accountable.

Responding to the committee’s concerns, the Secretary of the Power Division said the government is pursuing a long-term solution through the phased deployment of smart electricity meters, expressing confidence that the new metering system will help eliminate overbilling and incorrect meter reading issues in the future.

Story by Asim Yasin

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