The Multan Electric Power Company (MEPCO) has achieved a remarkable financial turnaround, posting a profit of Rs1.05 billion for the fiscal year 2025-26 after suffering a loss of Rs36 billion in 2023-24, according to a press release from the Power Division on Wednesday. This represents a recovery of over Rs37 billion in just two years.
Leadership and Strategy
Under the leadership of Federal Minister for Power Sardar Awais Ahmed Khan Leghari, the Ministry of Energy (Power Division) turned around one of Pakistan’s largest and most difficult power distribution companies. The press release emphasized that the recovery was gradual and sustained rather than a one-off correction.
Key Performance Improvements
Line losses were reduced from 15.2 percent to 11.9 percent over the same period, while recovery improved from 98.6 percent to 100.8 percent. These figures reflect tighter billing, reduced theft, and stronger consumer confidence. The company also benefited from the recovery of Re0.336 per unit under the Fuel Cost Adjustment (FCA) mechanism, allowed for Discos and KE.
