The National Electric Power Regulatory Authority (Nepra) has reportedly rejected proposed amendments aimed at introducing economic load management in Pakistan, citing potential conflicts with current laws and risks to consumer interests, according to sources speaking to Business Recorder.
The Power Division had requested two primary changes to the Nepra Act through a submitted summary:
- Definition of Load Shedding: The proposal included adding a definition for “load shedding” in Section 2 of the Regulation of Generation, Transmission, and Distribution of Electric Power Act (Nepra Act) XL of 1997. This definition would classify load shedding as a measure to remove consumer load from the power system for technical, commercial, or economic reasons, with prior notification.
- Policy Guidelines for Load Shedding: A suggested amendment to Section 34 would allow the federal government to issue binding policy guidelines for load shedding based on economic limitations, ensuring principles of equality and non-discrimination across consumer groups.
Nepra has consistently opposed load shedding, emphasizing that Pakistan’s generation capacity is sufficient to meet demand. The National Electricity Policy 2021 similarly envisions phasing out load shedding for paying consumers, including those in rural areas.
Additionally, the Supreme Court has highlighted load shedding as a pressing concern, emphasizing that access to electricity is a fundamental right under Article 9 of the 1973 Constitution.
In its response, Nepra pointed to Section 23 F (2) (b) of the Act, which requires electric power suppliers to deliver non-discriminatory service to all eligible consumers, with limited exceptions. The authority warned that these proposed changes might trigger public backlash and urged that they be reviewed through parliamentary debate.
Meanwhile, the International Monetary Fund (IMF) has supported energy sector reforms to enhance efficiency, curb price increases, and secure sustainability. Key reforms include boosting distribution efficiency via private sector involvement, curbing electricity theft, improving transmission systems, privatizing inefficient generation units, and transitioning to a competitive electricity market to reduce capacity payments, which presently account for approximately 60% of generation costs.
