Pakistan’s power distribution companies (Discos) have failed to recover Rs. 480 billion in outstanding electricity bills. This figure was revealed in the latest audit report by the Auditor General of Pakistan for the fiscal year 2024–25.
The report states that 476,488 consumers have defaulted on payments. Discos are struggling to recover these dues, which has worsened the country’s power sector crisis. The financial burden continues to rise as collection systems remain ineffective.
According to the audit, the total unpaid electricity bills have grown by Rs. 828 billion over the last six years. In 2021–22, the dues stood at Rs. 1,189 billion. By 2024, this amount reached Rs. 2,017 billion.
The audit notes a sharp increase in non-recoveries. In 2021–22 alone, unpaid dues rose by Rs. 341 billion. The following year added Rs. 197 billion more. In 2023–24, another Rs. 290 billion was added to the total.
Discos also saw a major rise in dues under the recovery category. From Rs. 1,189 billion in 2021–22, it climbed to Rs. 1,530 billion. This shows continued inefficiency in collecting payments from defaulters.
Experts say the failure of Discos to recover these amounts adds to Pakistan’s growing circular debt. It affects the ability to maintain and improve power infrastructure. Consumers who regularly pay their bills may face higher tariffs to offset the losses.
The government had claimed efforts were being made to recover dues, but the report suggests otherwise. Discos need urgent reforms to improve their recovery systems.
If left unaddressed, this issue could deepen the financial problems in the energy sector. Transparency and strict enforcement are essential for future stability in electricity distribution and billing.
In other related news Discos were informed of a decrease of Rs2.3 per unit
