Nepra Imposes Rs57.5 Million Fines on LESCO, FESCO & GEPCO Over Safety Violations – Full Details

The National Electric Power Regulatory Authority (NEPRA) has taken strict action against three major power distribution companies—LESCO, FESCO, and GEPCO—after multiple fatal incidents were reported during the fiscal year 2023–24. Following a detailed investigation, the authority has imposed combined fines of Rs57.5 million for failing to comply with safety and regulatory standards.

This major development aims to enforce accountability in the power sector and ensure that public and employee safety remains a top priority.

Why Nepra Issued the Penalties

NEPRA launched an inquiry after several fatal accidents were reported within the operational areas of the three DISCOs. An Investigation Committee was formed under Section 27A of the NEPRA Act to determine:

  • Whether the companies violated the NEPRA Act

  • If they failed to follow the Distribution Code and Power Safety Code

  • Whether their responses to show-cause notices were satisfactory

The committee concluded that all three distribution companies showed negligence, inadequate safety compliance, and poor preventive measures—leading to avoidable loss of life.

Fine Breakdown: How Much Each Company Was Penalized

FESCO – Rs10 Million Fine

NEPRA imposed a Rs10 million penalty on Faisalabad Electric Supply Company (FESCO) after the company failed to provide a valid defense regarding fatal incidents in its operational areas.

Key points:

  • FESCO violated several regulatory documents, including the Performance Standards (Distribution) Rules 2005 and Power Safety Code 2021.

  • The company must implement the corrective safety measures issued by NEPRA on March 13, 2025.

  • FESCO has 15 days to deposit the fine or face recovery under Section 41 of the NEPRA Act.

GEPCO – Rs17.5 Million Fine + Mandatory Compensation

Gujranwala Electric Power Company (GEPCO) received a Rs17.5 million fine for safety violations and negligence linked to fatal incidents.

Additional directives issued to GEPCO:

This marks one of NEPRA’s strongest decisions ensuring both accountability and victim support.

LESCO – Rs30 Million Fine

Lahore Electric Supply Company (LESCO) received the largest fine, totaling Rs30 million, for lapses that resulted in fatal accidents during the period reviewed.

Key instructions:

  • LESCO must deposit the full fine into NEPRA’s designated bank account within 15 days.

  • NEPRA has warned that failure to comply will result in forced recovery under applicable laws.

  • Further legal action may be taken if LESCO does not follow NEPRA’s orders.

Nepra’s Warning to All Distribution Companies

The authority emphasized that it will not tolerate negligence or poor safety standards. Power companies must:

  • Strengthen safety protocols

  • Train field staff

  • Ensure strict compliance with regulatory codes

  • Protect the public and employees at all times

NEPRA noted that repeated lapses indicate systemic failures, and stronger enforcement measures may be used in the future.

Conclusion

The Rs57.5 million nationwide penalty reflects NEPRA’s zero-tolerance policy toward safety violations in Pakistan’s power sector. By enforcing fines, demanding corrective actions, and ensuring victim compensation, the authority aims to push DISCOs toward safer and more responsible operations.

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