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K-Electric (KE) CEO Moonis Alvi has disclosed that the city faces an alarming 400,000 to 600,000 illegal electricity connections (kundas), calling electricity theft a deep-rooted crisis that the company cannot solve alone.
During an interview with a private news channel, Alvi stressed that electricity tariffs are set by the government, and KE does not have the authority or resources to offer free electricity, especially to areas where kundas reappear after disconnections.
He admitted that 87 percent of electricity is lost on 150 feeders, mainly in areas like Ibrahim Hyderi, where residents expect free utilities. Alvi also revealed that KE’s current distribution losses are 15 percent, improved from nearly 30 percent before privatization.
Alvi was candid in acknowledging internal corruption, saying that some of KE’s 12,000 employees are involved in illegal activity. He also highlighted the difficulty in collecting bills from Karachi’s 900 informal settlements, where 300 feeders serve unregulated communities.
To address these issues, KE has proposed a $2 billion investment plan to upgrade poles, grids, and infrastructure, yet foreign investors have seen no return – operating at a negative 1 percent margin, according to Alvi.
