Govt likely to handover DISCOs to provinces


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ISLAMABAD: The caretaker federal government has decided to end the existing system for sales and distribution of electricity and Caretaker Prime Minister Anwaarul Haq Kakar has approved sending a summary to the federal cabinet to hand over power distribution companies (DISCOs) to the provinces.

This decision, if implemented, will result in cessation of a uniform tariff for power consumers across the country as the provinces will individually decide electricity rates and subsidies to be given to consumers.

According to official documents, the Sindh government will have the ownership of the Hyderabad Electric Supply Company (Hesco) and the Sukkur Electric Supply Company (Sepco).

The Quetta Electric Supply Company (Qesco) will work under the Balochistan government while the Islamabad Capital Territory (ICT) and Punjab will jointly own the Islamabad Electric Supply Company (IESCO), DISCO that supplies power to the federal capital.

Four DISCOs—the Lahore Electric Supply Company (Lesco), the Gujranwala Electric Supply Company (Gepco), the Faisalabad Electric Supply Company (Fesco) and the Multan Electric Supply Company (Mepco)—will be handed over to Punjab.

Khyber Pakhtunkhwa (K-P) will own the Peshawar Electric Supply Company (Pesco) and the Tribal Areas Electric Supply Company (Tesco).

A policy framework for handing over distribution companies to the provinces has been prepared. Due to electricity theft, non-receipts, the national treasury is not able to bear the burden, the document said.

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