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Monday December 02, 2024

Unbridled theft

By News Desk
December 03, 2024
Unbridled theft

I am writing to share the frustration felt by people nationwide over the continuous surge in electricity tariffs, which has made it nearly impossible for everyday citizens to afford power. These soaring costs not only add financial pressure on the households but are also causing default rates to climb. Sadly, people may resort to illegal connections and justify this act with the excuse that they cannot afford to pay the bills anymore.

Crackdowns on electricity theft are frequently announced, with the prime minister leading a nationwide push against it. Utilities are already carrying out crackdowns against power theft and defaulters on top of their core business but there is only so much that companies can do. Until the government tackles underlying problems – like the Rs315 billion in unpaid dues and the absence of a lasting legal framework – these crackdowns will keep falling short. The Criminal Law (Amendment) Ordinance 2023 was a good first step by making theft a cognisable offense, yet it needs parliamentary approval as a priority to actually make a difference.

Abdul Hayee

Karachi

*****

It is astonishing that Pakistan’s power sector is caught up in the same issues that troubled it years ago. The power sector is crippled by circular debt and rising electricity tariffs are pushing more people into default leading to power outages as unpaid bills and power theft result in the rise of high loss areas. With unpaid bills increasing, the pressure on the utilities for recoveries is enormous. Higher tariffs also cause greater rupee-value losses for the power providers, even when the recovery rates stay steady. Due to the absence of a solid legal framework, pursuing cases and filing FIRs is lengthy enough – none of which guarantees that the unpaid bills will come back.

Expecting utilities to recover all dues despite such a high rate of theft and default is unrealistic. Instead of placing all the responsibility on the utility companies, the government has to close legal loopholes, and enforce penalties on chronic defaulters and those using ‘kundas’.

Syed Mohsin Ali

Karachi