ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has ordered K-Electric to refrain from penalising paying customers by interrupting their electricity supply due to non-payment of others or illegal connections.

Additionally, it has instructed K-Electric not to delay or discourage net-metering applicants based on claims of system weaknesses that need to be addressed.

In two separate orders, Nepra expressed deep concern that KE was discouraging or delaying solar net-metering applications and instead asked the regulator to reconsider its explicit orders for timely connections.

Nepra “views this as a deliberate attempt to avoid compliance with its instructions. Such behaviour is unacceptable, as it not only constitutes clear non-compliance with the authority’s directive but also denies consumers the rights and benefits they are entitled to under the regulatory framework”.

Regulator orders power utility to stop penalising paying consumers

The determination of rates, charges, and terms and conditions for electricity charges is the exclusive prerogative of Nepra, and no entity, including PPIB, AEDB, or KE, has the authority to override this through internal guidelines or any other means.

Nepra said the data showed that 399 applications for net-metering connections were either rejected or placed on hold by KE due to alleged transformer loading issues as of Sept 13, 2024. It observed that “in many of these cases, the transformer loading was well below the 80pc threshold”.

The regulator pointed out that the inclusion of net-metering consumers in KE’s system had several positive impacts, including but not limited to reducing T&D losses through distributed generation, lowering the energy purchase price (EPP), and enhancing the company’s liquidity by retaining payments owed to net metering consumers for extended periods. These benefits not only advantage KE but also have a positive effect on all electricity consumers within KE’s service area.

Therefore, it directed KE to process all net-metering applications promptly per Nepra regulations. Where transformer upgrades are necessary, KE shall fulfil its responsibility by carrying out the required upgrades and maintenance as part of its obligations for the proper management of the Common Distribution System (CDS), it added.

It directed the KE for “immediate compliance with this decision to ensure that net metering consumers are not unjustly deprived of their rightful services. KE’s failure to adhere to this directive will be considered a serious violation of the regulatory framework, and legal action will be initiated against KE”, it said.

In another order, Nepra also took notice of complaints that KE had disconnected the 11kV line to Diamond City, Gadap Town, Karachi for non-payments and illegal connections, but “families of more than 1,000 paying consumers” also suffered disturbance and mental torture.

A complaints resolution committee of Nepra held meetings with KE and Diamond City management and consumers and concluded that KE disconnected the electricity supply to the society from the 11kv feeder instead of disconnection individual defaulters, which caused agony and stress to the families of regular paying consumers”.

KE said non-consumers restored individual connections through illegal connections from the main lines.

The committee ordered KE to conduct an enquiry through its chief internal auditor to determine who authorised the illegal disconnection of the 11kV feeder at Diamond City over non-payment of street light connection rather than disconnecting the street light itself. “Responsibility should be fixed accordingly” with a report to the regulator.

Also, it asked the utility to follow the consumer service manual procedure for disconnecting ele­ct­ricity due to non-payment and ensure that the 11kV supply to paying consumers was not disrupted for individual dues.

Published in Dawn, March 14th, 2025