Pakistan’s power distribution companies (DISCOs) inflicted a Rs472 billion loss on the national exchequer in a single year due to poor operational performance, according to a new report issued by the National Electric Power Regulatory Authority.

The regulator’s performance review for FY2024-25 shows that DISCOs failed to meet targets for transmission and distribution (T&D) losses and bill recoveries, shifting a heavy financial burden onto the public purse.

The report breaks the losses into Rs265 billion from T&D losses and Rs207 billion from low bill recovery, taking the total impact to Rs472 billion over the year.

Nepra said distribution companies consistently missed their assigned T&D loss benchmarks, describing line losses as a persistent challenge for the power sector.

Expressing serious concern over rising losses and weak recoveries, the regulator stressed the need for immediate and effective reforms in the electricity sector.

Nepra directed DISCOs to take strict corrective measures to improve efficiency, strengthen recoveries, and deliver better overall performance.