The government plans to install smart meters on transformers across all power distribution companies (Discos) with the help of multibillion-dollar financing from multilateral lenders. It will negotiate with the World Bank and Asian Development Bank (ADB) to arrange funding for the project.

According to an official announcement, Minister for Economic Affairs and Establishment Division Ahad Cheema chaired a meeting on power distribution companies. The meeting reviewed development programmes for Discos and discussed the Economic Affairs Division's (EAD) efforts to secure financing for installing smart meters on transformers across the distribution network.

Participants were informed that progress has been made in arranging funding for the smart metering system, which is aimed at curbing electricity theft and overbilling. The meeting also discussed the continuation of the project after the privatisation of Discos.

Cheema said the government will put in place arrangements to ensure that private investors continued the project after taking over the distribution companies. He said smart meters on transformers could help reduce electricity theft, improve billing accuracy and prevent overbilling, while protecting the interests of consumers, investors and the government.

Negotiations with multilateral development partners on financing and development programmes will continue until the privatisation process is completed. If a Disco is privatised while negotiations or programme preparations are under way, the relevant financing and development programmes will be transferred to the private investor as part of the handover, subject to agreed arrangements.

Cheema further stressed that any new project undertaken by a private investor within a Disco must go through competitive bidding and obtain approval from the National Electric Power Regulatory Authority (Nepra), where required. He said the purpose of privatisation is not to shift costs or place an undue burden on consumers.

The government will support the process while protecting consumers and ensuring that investors meet their financial and contractual obligations. Minister for Power Division Sardar Awais Ahmad Khan Leghari, the prime minister's adviser on privatisation, and senior officials from the relevant ministries also attended the meeting.