Overview
- NEPRA’s State of Industry Report says public DISCOs added about Rs397 billion to circular debt in FY2024-25, driven by average T&D losses of 17.55% against an 11.43% cap and a 96.62% recovery rate.
- The Finance Ministry’s SOEs report shows the sector’s equity turning negative by roughly Rs800 billion as liabilities reached Rs9.2 trillion versus Rs8.4 trillion in assets, with over Rs1 trillion in subsidies including Rs552 billion for DISCOs.
- NEPRA cites under-utilised ‘take-or-pay’ generation and a high Capacity Purchase Price averaging Rs14.21/kWh, alongside transmission under-use such as the Matiari–Lahore HVDC line operating at about 35% utilisation.
- Power Minister Awais Leghari disputed the report’s timing and data, arguing recoveries improved from 92.4% to 96.6%, crediting IPP negotiations and macro gains for debt reduction, and asserting the government is covering DISCO inefficiencies.
- The regulator notes KE did not add to circular debt in the year under review and records 2,829MW of retirements and 884MW added at Suki Kinari, with thermal and nuclear utilisation in the CPPA-G system averaging 38.82%.