The Senate Standing Committee on Power, chaired by Senator Mohsin Aziz, strongly criticized the Power Division over its handling of Independent Power Producers (IPPs), the ballooning circular debt, continued load shedding, and alleged corruption within power distribution companies during a meeting here at Parliament House on Wednesday.
Lawmakers expressed deep frustration over the absence of the Federal Minister for Power and the lack of clear responses from the Power Division. Senator Mohsin Aziz termed the establishment of IPPs ‘an injustice,’ while Senator Shibli Faraz accused the division of inflating project costs and shifting the burden of inefficiencies onto the public. He also lamented the failure to control circular debt, calling the government’s measures insufficient.
Officials from the Power Division responded by stating that repayment of the circular debt is linked to a debt servicing surcharge, assuring that no new financial burden will be placed on consumers. They added that electricity subsidies have been reduced as a control measure.
However, Senator Aziz remained unconvinced, questioning the unusually high profits enjoyed by IPPs and demanding that these returns be refunded to the public. He also slammed the Power Division for consistently referring matters to a Task Force, which he said is ultimately answerable to the division itself.
Despite claims of surplus electricity, the issue of load shedding remained prominent. The Power Secretary explained that load shedding is concentrated in areas with high electricity theft, and efforts are underway to install transformerlevel technology to curb such practices.
Senator Ponjo Bheel raised the issue of severe power outages in Sindh’s Tharparkar, Matiari, and Umerkot regions, where residents reportedly face up to 14 hours of load shedding daily. He alleged that even paying customers are being denied electricity due to systemic corruption, where officials demand bribes for illegal connections and bill clearance.
Chairman Aziz directed the Power Division to present comprehensive answers in the next meeting, expressing dissatisfaction over the failure to respond adequately during the current session.
Senator Haji Hidayatullah highlighted a case of alleged corruption in PESCO. He claimed that his property in Peshawar, cleared of dues after a tenant vacated it, was later slapped with an outstanding bill of Rs. 2.3 million. He further alleged that PESCO officials offered to settle the matter for a bribe of Rs. 300,000. The Power Secretary promised to investigate the issue.
KElectric representatives informed the committee that 70% of their 2,100 feeders are free from load shedding, while the remaining 30% are affected due to high theft rates. To ease the burden on consumers, they noted, bills have been divided into installments.
The committee also discussed the strict slab system for electricity tariffs, with the chairman suggesting that bills be calculated based on an annual average instead of monthly consumption.
The Power Division reported that 58% of consumers are in the “protected” category, receiving electricity at Rs. 10 per unit. It was also revealed that Rs. 250 billion in subsidies are being approved through international financial institutions. Additionally, a mobile app allowing consumers to selfreport meter readings has gained traction, with 500,000 downloads and 250,000 registrations to date.
Meanwhile, the CEO of HAZECO briefed the committee on issues related to estimated billing without actual readings in the Lora Chowk subdivision, daily faults in the Bandi Sher Khan feeder, and the status of ELR works under various release numbers.
The committee concluded with strong calls for transparency, accountability, and timely action from the Power Division to address ongoing challenges in the energy sector.