PM Shehbaz Orders Technical Audit of All DISCO Billing Systems Nationwide
Prime Minister Shehbaz Sharif has ordered a comprehensive technical audit of billing systems across all power distribution companies, directing the Power Division to set clear performance targets and eliminate electricity theft. Five DISCOs — IESCO, LESCO, GEPCO, FESCO, and MEPCO — achieved 100 per cent billing recovery in fiscal year 2025-26.
Prime Minister Shehbaz Sharif on Thursday ordered a comprehensive technical audit of billing systems across all power distribution companies (DISCOs), directing the Power Division to establish clear performance benchmarks, eliminate electricity theft, and accelerate smart meter deployment as the government moves to overhaul Pakistan's struggling power distribution sector.
The directive came during a high-level review meeting on Power Division issues held in Islamabad, where officials briefed the prime minister on technical and commercial losses, billing recovery rates, and measures to address load-shedding across the country.
Audit Scope and Performance Targets
PM Shehbaz said strict measures would be enforced at every level of the power sector and demanded that electricity theft be eliminated without exception. He instructed the Power Division to devise clear, measurable performance indicators for each DISCO and to set integrated targets backed by defined timelines — signalling a move toward data-driven accountability across the distribution network.
The prime minister also announced an incentive-based framework: the best-performing DISCO would be formally recognised and awarded, with the stated aim of fostering healthy competition among the country's distribution companies. Pakistan's federal government currently oversees nine DISCOs, including:
- LESCO (Lahore Electric Supply Company)
- IESCO (Islamabad Electric Supply Company)
- GEPCO (Gujranwala Electric Power Company)
- FESCO (Faisalabad Electric Supply Company)
- MEPCO (Multan Electric Power Company)
- PESCO (Peshawar Electric Supply Company)
- HESCO (Hyderabad Electric Supply Company)
- QESCO (Quetta Electric Supply Company)
- TESCO (Tribal Electric Supply Company)
K-Electric, which serves most of Karachi under its own licence from NEPRA (the National Electric Power Regulatory Authority), was not referenced in Thursday's meeting and operates under a separate regulatory framework.
Top-Performing DISCOs Named
Officials told the meeting that technical and commercial losses across DISCOs are gradually declining. Three utilities — IESCO, LESCO, and GEPCO — recorded the lowest transmission and distribution (T&D) losses during the last fiscal year, establishing a measurable benchmark for peers.
On billing recovery, five DISCOs achieved 100 per cent recovery rates in fiscal year 2025-26:
- IESCO — Islamabad region
- LESCO — Lahore and central Punjab
- GEPCO — Gujranwala division
- FESCO — Faisalabad division
- MEPCO — Multan and southern Punjab
The pattern suggests Punjab-based utilities are significantly outperforming their counterparts in Sindh, Balochistan, and Khyber Pakhtunkhwa, where persistently high T&D losses and lower recovery rates continue to inflate system-wide costs that all consumers eventually bear through capacity and fuel adjustments.
Smart Meters and Village-Level Solar
PM Shehbaz called the countrywide rollout of smart meters indispensable for any meaningful sector turnaround, reinforcing a long-standing government commitment that has faced slow execution. Smart meters record real-time consumption and significantly reduce opportunities for meter tampering, making them one of the most direct tools for cutting commercial losses.
On rural load-shedding, the prime minister directed the Power Division to develop village-level solarisation projects, arguing that decentralised solar solutions could reduce pressure on the national grid and deliver more reliable power to communities most affected by outages. No specific budget allocations or rollout timelines were announced at the meeting.
Frequently Asked
Questions about this story
What does the DISCO billing system audit ordered by PM Shehbaz actually involve?
The audit is a comprehensive technical review of how each power distribution company records, meters, and bills electricity consumption. It aims to identify inaccuracies, meter tampering, and system gaps that contribute to commercial losses and overbilling complaints from consumers.Which DISCOs achieved 100 per cent billing recovery in FY 2025-26?
Five DISCOs reached 100 per cent recovery in fiscal year 2025-26: IESCO (Islamabad), LESCO (Lahore), GEPCO (Gujranwala), FESCO (Faisalabad), and MEPCO (Multan). All five serve regions in Punjab or the federal capital.Does this billing audit apply to K-Electric customers in Karachi?
K-Electric was not mentioned in Thursday's meeting. It operates under a separate licence from NEPRA and is not part of the federal DISCO system, so this specific audit directive does not directly apply to Karachi consumers.When will smart meters be installed in homes across Pakistan?
No specific timeline was announced at Thursday's meeting. The prime minister called the nationwide smart meter rollout indispensable but implementation details, including city-by-city schedules and budget allocations, have not yet been publicly confirmed by the Power Division.How will village-level solar projects reduce load-shedding in rural areas?
The prime minister directed the Power Division to develop decentralised solar installations at the village level, which would generate electricity locally rather than depending on the national grid. This could reduce outage hours in rural areas where grid supply is most unreliable, though no budget or rollout dates were disclosed.
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