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An official audit has uncovered a massive overbilling scandal in Pakistan’s power sector, where eight electricity distribution companies (Discos) allegedly defrauded consumers of Rs244 billion during the 2023–24 financial year, as per media reports.
According to the Auditor General of Pakistan’s report published by the News International, the companies involved overcharged consumers to conceal technical inefficiencies, line losses, and widespread electricity theft.
The report specifically names IESCO, LESCO, HESCO, MEPCO, PESCO, QESCO, SEPCO, and TESCO as the key violators.
The audit found that five companies alone overbilled 278,649 customers by Rs47.81 billion in just one month.
Across the financial year, more than 900 million extra electricity units were billed, with no accountability for the officials responsible.
Among the most alarming revelations was that Rs22 billion was charged under the guise of “adjusting load,” allegedly to compensate for technical losses.
QESCO emerged as the worst offender, accused of inflating agricultural tube well bills by Rs148 billion to mask poor performance.
The audit also highlights that 1,432 feeders were used to generate inflated bills totaling Rs18.64 billion, yet companies failed to produce records despite repeated audit requests.
In many instances, companies claimed they issued refunds, but auditors found no documentation to support these claims.
Nonetheless, some consumers did receive relief: Pesco refunded Rs2.18 billion in credit adjustments, and Rs5.29 billion was returned to customers who were wrongly charged due to incorrect meter readings.
Audit authorities have now sought formal explanations from all eight companies and demanded that complete billing and refund records be submitted for verification.
