KARACHI: The National Electric Power Regulatory Authority (NEPRA) conducted a public hearing today on KE’s 7-year investment plan in transmission and distribution. The hearing was held in Islamabad with many attendees joining virtually as well. KE management shared details of the plan and projects being undertaken over the next control period from FY2024 to FY2030, valued at approximately PKR 484 billion.
While responding comments from the audience, KE leadership stated that the investment plan has been conceived with a vision to balance affordability, availability and sustainability of power supply. It aligns with the developments in the power sector including the implementation of the competitive markets framework and the culmination of exclusivity for power distribution companies. In this regard, KE has filed for a non-exclusive license with the regulator late in December 2022.
The hearing was attended by a wide range of stakeholders representing industries and community leaders alike. Key themes discussed were the projects being undertaken to drive growth and reliability in KE’s transmission and distribution network, the projected growth in demand within the utility’s operational territory, and planned technological interventions to further improve the quality and reliability of the service.
Participants also shared their comments on KE’s performance since privatization. Queries included the Karachi based electric utility’s future investments including making power affordable for all, incentivizing foreign and local stakeholders to further invest in the power sector, while others shared that the company’s services have improved since the company’s privatization. Participants also suggested keeping ground realities in mind when setting the future T&D losses and recoveries targets to ensure a sustainable power supply to the city.
While expressing gratitude to the NEPRA Authority and the participants for sharing their valued thoughts, K-Electric spokesperson further stated, “Our investment plan has been developed to meet the future needs of our growing customer base. We anticipate that in 2030, our customers base will grow from 3.4million today to approximately 5 million, and consumption forecast will be around 5000 MW of electricity. This requires meticulous planning and targeted investment. Based on its over 113 years experience of serving the city, K-Electric remains committed to providing reliable and affordable electricity to its customers.”
K-Electric (KE) is a public listed company incorporated in Pakistan in 1913 as KESC. Privatized in 2005 KE is the only vertically integrated utility in Pakistan supplying electricity within a 6500 square kilometers territory including Karachi and its adjoining areas. The majority shares (66.4%) of the company are listed in the PSX owned by KES Power, a consortium of investors including Aljomaih Power Limited of Saudi Arabia, National Industries Group (Holding), Kuwait, and the Infrastructure and Growth Capital Fund (IGCF). The Government of Pakistan is also a minority shareholder (24.36%) in the company.