Business

Option to hand over Discos to provinces ‘declared’ impractical

Federal Minister for Power Sardar Awais Khan Leghari said the option to hand over control of power distribution companies (Discos) to the provinces is impractical, it was reported on Saturday.

Sardar Awais Leghari, in his written reply submitted in the Senate, said that the power division is facing challenges of power theft, losses, and lower recovery.

The sector faces administrative weaknesses and rising circular debt. He further said that the government ownership of distribution is causing a financial burden.

Sardar Awais Leghari said the committee formed by the Prime Minister reviewed all the issues of the Discos.

The federal minister said that the committee thoroughly reviewed the transfer to provinces, long-term agreements, and complete privatization.

Sardar Awais Leghari said that the committee said that handing over control of Discos to the provinces is unacceptable.

He also expressed his reservation that these steps will transfer the financial burden from the center to the provinces.

Sardar Awais Leghari said that even provincies are not agree to take responsibility for discos.

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