Karachi’s Power Monopoly to Continue as NA Committee Shelves Multi-Vendor Bill Until 2026

A landmark legislative proposal aimed at ending Karachi’s reliance on a single electricity provider has been postponed until February 2026, after the National Assembly’s Standing Committee on Power Division deferred the “Multi-Vendor Electricity Distribution Bill, 2025” for a more detailed review.

The bill, introduced by MNA Shahida Rehmani, was intended to foster competition and enhance consumer choice by allowing multiple power distributors to operate in the metropolis. However, the Power Division contended that similar provisions for a multi-buyer system already exist under the NEPRA Act’s Competitive Trading Bilateral Contract Market (CTBCM) framework, prompting the committee to delay further deliberation.

The committee, which met on Wednesday under the chairmanship of MNA Muhammad Idrees, also reviewed the status of numerous electrification projects across the country. The CEO of Hazara Electric Supply Company (HAZECO) reported that out of development works worth Rs132.17 million approved under the Dasu Hydropower Project, 26 projects remain pending or disputed. The committee directed the CEO to coordinate with the local MNA to resolve these issues and to submit a report on measures to curtail load-shedding.

Concerns over discriminatory power outages were raised regarding the Hyderabad Electric Supply Company (HESCO). While MNA Syed Hussain Tariq acknowledged system improvements, the committee instructed the Secretary of the Power Division to meet with him to address the replacement of antiquated wires and combat electricity theft. HESCO confirmed an investment plan is in place to exempt 78 feeders from load-shedding this year.

In the Sukkur Electric Supply Company (SEPCO) region, several federally funded electrification schemes initiated in 2021 have stalled, with some being 90-99% complete. MNA Nauman Islam Shaikh attributed the delays to administrative changes within SEPCO. The committee was informed that a new board for the power company is being formed and a dedicated meeting will be held to address the region’s electricity challenges.

The committee also expressed its displeasure over the absence of the CEO of GENCO and discussed the non-compliance with transfer and posting policies at GENCO Jamshoro. Furthermore, members highlighted how staff shortages were negatively impacting billing and recovery efforts, causing difficulties for consumers who pay their bills on time. The Ministry responded that recruitment and outsourcing initiatives are underway to fill these gaps.

Discussions also touched upon the public’s increasing shift toward solar energy due to persistent power cuts. Members pointed out that procedural delays in the net-metering process were discouraging new applicants. The Ministry affirmed its support for renewable energy but emphasized that maintaining grid stability remains a critical priority.

The Ministry assured the committee that the country’s circular debt has been capped in recent years and that structural reforms are being implemented to eliminate it in the long term.