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Saturday November 02, 2024

No solution

By News Desk
November 02, 2024
No solution

The individual who proposed the idea of enforced electricity loadshedding in areas with high electricity theft is an adversary of our nation and the people of Pakistan. This approach lacks economic sense, as it punishes paying consumers rather than addressing the root problem of electricity theft, which often occurs with the complicity of DISCO employees. To illustrate, consider an area supplied with 100 units of electricity at a cost of Rs5 per unit, resulting in a total cost of Rs500. If there is a loss of 10 units, the DISCO receives Rs450. However, if the DISCO imposes forced loadshedding for 30 per cent of the time – that is: approximately seven hours – power is supplied for only 70 units. If the loss remains at seven units, the DISCO’s revenue drops to Rs315. Since the government is still obligated to pay for the full 500 units due to contractual agreements with suppliers, a DISCO’s income diminishes significantly. Thus, the shortfall in DISCOs’ income escalates from 10 per cent to 37 per cent. This misguided and artificial loadshedding not only reduces DISCOs’ income but also exacerbates the circular debt, creating numerous problems for businesses and residents alike. A straightforward solution would be to hold DISCO linemen accountable for losses and task them with identifying and addressing electricity theft.

Shahryar Khan Baseer

Islamabad