Prime Minister Shehbaz Sharif on Thursday ordered an immediate nationwide technical audit of electricity distribution companies’ (Discos) billing systems, reaffirming that deep-seated power sector reforms remain at the very top of the government’s economic agenda.
Chairing a high-level review meeting on Power Division affairs, the Prime Minister acknowledged steady progress in utility performance while emphasizing that systemic inefficiencies, overbilling, and technical leaks require far more aggressive, structured interventions.
اسلام آباد : 30 جولائی 2026.
وزیراعظم محمد شہباز شریف کی زیر صدارت پاور ڈویژن کے امور پر جائزہ اجلاس آج اسلام آباد میں منعقد ہوا.
گفتگو کرتے ہوئے وزیرِ اعظم نے کہا کہ پاور سیکٹر میں اصلاحات ہماری اولین ترجیحات میں شامل ہے. پاور سیکٹر اصلاحات، بجلی تقسیم کار کمپنیوں کی بہتر… pic.twitter.com/sCXxHZ0YEK
— Prime Minister’s Office (@PakPMO) July 30, 2026
Technical Audits, KPIs, and Performance-Based Incentives
To enforce institutional accountability across public utility management, the Prime Minister laid out key operational directives:
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Systemic Billing Audits: A thorough technical audit of all Discos’ billing architecture was ordered to eradicate billing anomalies, ensure accurate consumer metering, and safeguard public trust.
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KPI-Driven Target Setting: The Power Division was instructed to establish clear Key Performance Indicators (KPIs) to evaluate the operational standing of each distribution utility, backed by strict time-bound targets.
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National Performance Awards: To foster healthy institutional competition, PM Shehbaz announced that top-performing Discos will receive formal national recognition and performance awards.
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Zero Tolerance for Theft: Directives were issued for strict enforcement measures at every administrative layer of the power supply chain to eliminate line losses and illegal electricity connections entirely.
Grid Modernization: Smart Meters, APMS, and Rural Solarization
Briefing the Prime Minister, Power Division officials detailed major technological upgrades currently being deployed across distribution networks:
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Transformer-Level Monitoring (APMS): The first phase of the Asset Performance Management System (APMS) at the transformer level will be completed by September 30, 2026, enabling real-time monitoring to curb localized theft and prevent transformer burnout.
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Mass Rollout of Smart Meters: A plan is under active consideration to deploy 16.2 million single-phase Advanced Metering Infrastructure (AMI) meters across the Multan, Lahore, Peshawar, Hazara, and Quetta operational zones.
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Decentralized Rural Solarization: To relieve pressure on the national grid and alleviate rural load-shedding, the Prime Minister ordered the immediate development of village-level solarization projects across remote regions.
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Establishment of DISCO Support Units: Specialized support units have already been operationalized across Hyderabad, Sukkur, Lahore, Multan, and Hazara to streamline financial recoveries, curb power theft, and resolve localized technical bottlenecks.
Loss Reduction & FY 2025–26 Financial Recoveries
The meeting highlighted significant operational progress achieved during the 2025–2026 fiscal year, pointing to a gradual reduction in overall transmission and distribution (T&D) losses:
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Lowest Transmission & Distribution Losses: Islamabad Electric Supply Company (IESCO), Lahore Electric Supply Company (LESCO), and Gujranwala Electric Power Company (GEPCO) recorded the lowest T&D losses nationwide during the last fiscal year.
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100 Percent Recovery Milestones: Five major distribution utilities—IESCO, LESCO, GEPCO, Faisalabad Electric Supply Company (FESCO), and Multan Electric Power Company (MEPCO)—achieved a 100 percent recovery rate of billed dues for fiscal year 2025–26.
Strategic Analysis: Digital Governance and Grid Optimization
The Prime Minister’s directives reflect a tactical shift from reactive crisis management toward automated, tech-driven utility governance:
Modernizing Infrastructure to Arrest Circular Debt
By prioritizing Advanced Metering Infrastructure (AMI) and transformer-level Asset Performance Management Systems (APMS), the government aims to plug circular debt accumulation at its root. Digitized metering removes human discretion from billing, eliminates meter-reading discrepancies, and pinpoints exact locations where unauthorized power draws occur.
Decentralized Solar Power as a Grid Buffer
Promoting village-level solar initiatives targets the structural burden of rural load-shedding. Offloading rural residential and agricultural loads onto localized micro-grids mitigates transmission losses across long-distance rural feeders while reserving high-cost thermal generation for urban, commercial, and industrial centers.
Competitive Accountability in Public Utilities
Tying institutional recognition and awards to measurable key performance indicators disrupts traditional public-sector complacency. By validating utilities that achieved complete financial recovery—such as IESCO, LESCO, GEPCO, FESCO, and MEPCO—the administration creates a benchmark model for underperforming regional Discos.
