Power Division Signs IFC Deal for 10 Million Smart Meters Rollout -

ENERGY

The Ministry of Energy (Power Division) has signed a Transaction Advisory Services Agreement (TASA) with the International Finance Corporation, a member of the World Bank Group, says a federal government information on PID website.

Under this agreement, the IFC will act as transaction advisor and conduct a comprehensive techno-commercial assessment for a service-provider model or public-private partnership framework to support the large-scale rollout of smart metering infrastructure for 10 million single-phase connections. This initiative aims to attract local and international investors to install, maintain, and operate the infrastructure, thereby advancing Pakistan’s digital transformation in the power sector.

The Ministry has accelerated the digitization reform of the national power distribution network. The reform seeks to replace legacy systems with modern infrastructure, thereby enhancing transparency, operational efficiency, and long-term financial viability.

Advanced Smart Metering Infrastructure (AMI) forms the cornerstone of this transformation. Smart meters provide real-time visibility of energy consumption, reduce theft through anomaly detection, improve billing accuracy and recovery rates, and minimize manual errors by reducing human intervention.

Through an international competitive bidding process, the Ministry has reduced the price of both single-phase and three-phase smart meters by 40 percent, delivering substantial savings to the national exchequer and, ultimately, to consumers. All distribution companies have been directed to install smart meters for every new electricity connection, with no traditional meters to be issued to new applicants. In addition, all existing three-phase consumer meters must be converted to smart meters within a defined timeline, ensuring that commercial and industrial consumers are fully integrated into the digital system.

To address the longstanding issue of faulty and defective meters, the Ministry has collaborated closely with the National Electric Power Regulatory Authority. In its recent determinations on distribution investment plans, NEPRA has authorized distribution companies to replace defective meters with smart meters, thereby expediting the nationwide transition to a fully digital grid.

The Ministry of Energy (Power Division) reaffirmed its commitment to the Prime Minister’s vision of an efficient, transparent, and consumer-centric power sector that delivers reliable electricity services across Pakistan. – ER News Desk

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