Islamabad: The Lahore Electric Supply Company (LESCO) has successfully narrowed its financial gap from Rs79 billion to approximately Rs21 billion over the past two years, achieving cumulative savings of more than Rs58 billion. The company’s recovery rate has climbed to 101.05 percent, surpassing the regulatory benchmark set by the National Electric Power Regulatory Authority (NEPRA) for the first time.
According to Press Information Department, LESCO reduced its distribution losses from 15.8 percent to 11.86 percent, marking the largest two-year loss reduction by any electricity distribution company in Pakistan’s history. As Pakistan’s largest DISCO, with an annual revenue base exceeding Rs1 trillion, each one-percentage-point reduction in losses translates into an estimated Rs10 billion in financial improvement.
Federal Minister for Power Sardar Awais Ahmed Khan Leghari highlighted LESCO’s performance as evidence that sustained, data-driven oversight delivers results. The Minister has been actively monitoring the loss and recovery trends of various DISCOs, urging management to meet targets and ensuring accountability.
Over the fiscal years 2023-24 to 2025-26, these achievements were attributed to the vision of Prime Minister Muhammad Shehbaz Sharif, leadership by Minister Leghari, dynamic policymaking, and a combination of performance monitoring and customer-centric reforms. The reforms have transformed LESCO into a more efficient and financially stable power distribution company.
This achievement is part of a broader reform architecture established by the Ministry of Energy (Power Division), which includes digitisation of systems and a focus on customer service. The appointment of independent Boards and a policy of non-interference have allowed for strategic planning and execution without political pressure.
LESCO’s success demonstrates that empowered management and consistent oversight can improve the financial health of Pakistan’s power sector, reducing circular debt and supporting further reforms across other DISCOs.