ICCI urges discos to control rising line losses

  • January 06, 2010
Showing great concern over rising line losses of power distribution companies (Discos) of WAPDA, Zahid Maqbool, President Islamabad Chamber of Commerce & Industry (ICCI) has urged Discos to take urgent measures for controlling escalating line losses which cause huge power shortage putting multiple negative impacts on business activities.

He said this while talking to a delegation of local manufacturers who came to register strong protest against recent massive power breakdowns due to which their manufacturing activities were badly hurting.

He said the inefficiency of these power distribution companies is causing a huge loss of Rs.35 to 40-billion per annum to the national exchequer apart from affecting the entire national economy . He said even one percent line loss was costing about Rs.1-billion to the national kitty.

He stressed that government should make reduction in the line losses of Discos a part of its national agenda because the ever-increasing line losses are having cyclical impact on our industrial, agricultural production and the GDP.

Zahid Maqbool said that globally, the standard transmission and distribution losses are less than 10 per cent of the total production but lamented that Pakistan is experiencing 35 and even 42 per cent losses in some areas. He said during 2008-09, Balochistan showed more than 20 percent line losses, NWFP more than 35%, Sindh more than 34 percent while only Punjab performed somewhat better showing 13.1% line losses. 

The manufacturers complained that apart from the ever-widening gap between demand and supply of power, Discos are marred with maladministration, poor maintenance and dilapidated transmission network. They urged Discos to introduce flawless technology to reduce line losses as several hi-tech distribution channels are in the market to minimize these losses.

They also criticized the government for resorting to frequent hike in power tariff. They were of the view that by raising tariff repeadetly, government was actually covering up the inefficiencies of Discos and creating more problems for trade and industry while it should take measures to improve the performance of these companies.