ISLAMABAD: Seeking support of the provincial government to minimise over Rs188bn worth of energy loss in Khyber Pakhtunkhwa through theft and low recoveries, the federal government has asked KP Chief Minister Ali Amin Gundapur to find out a workable solution to challenges in Peshawar and Tribal electric supply companies.

The prime minister has already constituted a special team led by Defence Minister Khwaja M Asif for consultations with the KP government and other stakeholders to finalise a sustainable plan of action and asked Mr Gandapur to join these interactions and support the initiative.

In a letter to CM Gandapur, power minister Awais Leghari said both Pesco and Tesco were “among the low performing Discos which are contributing to ever increasing circular debt. During the current financial year, combined loss of Rs188 billion, which includes under recovery and loss above regulatory threshold, is anticipated in Pesco and Tesco”.

Critical high loss areas identified in Pesco also included Dera Ismail Khan -- the hometown of Mr Gandapur -- besides adjacent Bannu, Karak, Kohat, Shangla and formerly frontier regions. Tesco operates in former tribal areas where there is serious problem of non-recovery and non-meterisation. Due to these factors, Tesco may make loss of Rs51bn in the current financial year.

He said the success of nationwide anti-theft campaign to reduce losses and improve recovery was dependent “on wholehearted support of provincial government and its authorities which is not currently available in Khyber Pakhtunkhwa”.

The power minister sought the chief minister’s specific interest to ensure that support of police was available in Pesco so that anti-theft campaign was successfully implemented in the province of Khyber Pakhtunkhwa and menace of theft was rooted out.

Besides, “there is a challenge of weak writ of the government in the operational jurisdiction of Tesco”, he said and proposed that the KP government should prepare comprehensive plan to support Tesco in recovery and meterisation drive or it should take over supply of power in Tesco region.

Published in Dawn, April 20th, 2024