Power Sector Debt Surges 14% to Rs2.635 Trillion in 7 Months.

According to data from the Power Division, the power sector debt in Pakistan increased by 14% to Rs2.635 trillion between July 2023 and January 2024. Despite government efforts to reduce debt and raise tariffs, the debt grew by Rs46.42 billion each month. The inefficiencies of power distribution companies (DISCOs) have contributed significantly to the financial burden of the sector, with losses, low bill recoveries, and non-recoveries of bills accounting for over 87% of the total debt increase. The government has acknowledged the need for comprehensive reforms to address these challenges and ensure sustainable energy provision. [Extracted from the article]