The Sindh government has taken a decisive step to address Karachi’s high electricity costs by introducing the Sindh low-cost electricity scheme. Announced by Energy Minister Nasir Hussain Shah, the plan will operate under the newly formed Sindh Electric Power Regulatory Authority (SEPRA), which aims to provide cheaper power to both residents and industries in the city.
Formation of SEPRA
SEPRA will function as an independent body to regulate electricity tariffs in Sindh. This move allows the provincial government to bypass NEPRA’s centralized tariff system and set its rates. The Sindh Transmission and Dispatch Company (STDC) will handle the transmission, ensuring that electricity generated within Sindh can be supplied directly to Karachi. According to Shah, recruitment for SEPRA has already been completed, and its official notification will be issued soon.
Initial Implementation and Targets
The plan’s first phase will focus on supplying electricity to economic zones, with the Port Qasim grid being the initial recipient. The Sindh Assembly has already approved the framework, provided the transmission network remains under STDC’s jurisdiction.
Cheaper Tariffs and Solar Integration
Minister Shah assured that SEPRA’s rates will be “significantly lower than those of K-Electric”. To achieve this, the government will prioritize cheaper, renewable sources. A deal has been signed to supply low-cost solar power from Sindh’s solar parks directly to K-Electric. The minister also urged K-Electric to avoid expensive, fuel-based generation when solar power is available.
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Addressing Governance Concerns with K-Electric
A key criticism from the Sindh government has been the composition of K-Electric’s board. Currently, all three directors are federally appointed, with no representation from Sindh. Minister Shah has proposed adding two provincial directors and retaining one federal representative to ensure fair decision-making.
Conclusion
The launch of SEPRA marks a pivotal shift in Sindh’s power sector, giving the province greater control over its electricity supply and costs. If executed effectively, this plan could set a precedent for other provinces seeking affordable and sustainable energy solutions.
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