The National Electric Power Regulatory Authority (NEPRA) has taken strict action against the Hyderabad Electric Supply Company (HESCO), imposing a fine of Rs. 100 million. The penalty comes after HESCO continued excessive loadshedding on commercial grounds, despite no shortage of electricity.
According to NEPRA, the utility carried out outages based on aggregate technical and commercial (ATC) losses. The regulator stated that this practice violates existing electricity laws and harms consumers. HESCO’s actions prompted NEPRA to take decisive legal measures to ensure accountability.
This is not the first time HESCO has faced penalties. In April 2024, the utility was fined Rs. 50 million for similar ATC-based loadshedding. Instead of complying with the fine, HESCO filed an appeal and continued its illegal practice.
After issuing a show-cause notice and completing legal proceedings, NEPRA confirmed that the appeal does not shield HESCO from responsibility. The regulator also announced a daily penalty of Rs. 100,000 starting April 4, 2024, which will continue until the company stops ATC-based outages.
NEPRA emphasized that its actions are necessary to maintain fair electricity distribution and protect public interests. The authority urged HESCO to immediately comply with the law to avoid further penalties.
The regulator also highlighted that such fines are part of a broader effort to ensure electricity companies operate transparently and within legal limits. NEPRA’s decision underscores its commitment to regulating the energy sector effectively and safeguarding consumer rights.
This fine sends a strong message to electricity utilities in Pakistan that violations of regulations will not be tolerated and strict enforcement measures will continue to protect consumers and ensure reliable electricity supply.
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