The Power Division has stated that as a result of continuous measures and timely decisions taken to enhance transparency and competitiveness, the prices of smart meters for electricity distribution companies have declined by up to 40 percent.
While chairing a meeting on smart meters, former Federal Minister for Energy Sardar Awais Ahmed Khan Leghari said that this reduction is expected to generate nationwide savings of approximately Rs150 billion annually. He explained that by adopting transparent and internationally competitive procurement mechanisms, the price of three-phase smart meters has dropped from around Rs45,000 to below Rs25,000, bringing it close to the cost of conventional three-phase meters. Meanwhile, the price of single-phase smart meters has decreased by Rs7,000. These prices are exclusive of applicable taxes.
According to the energy minister, improved planning by the Power Division and positive amendments to the Pakistan Engineering Council’s regulations enabled strong participation from international companies. He noted that the removal of entry barriers and collective procurement of smart meters by all electricity distribution companies helped reduce the cost of raw materials and other supplies, significantly contributing to the price reduction. In addition, the introduction of clear and competitive standards for smart meters, along with continuous monitoring, also played an important role in lowering prices.
The minister further stated that the estimated annual savings of Rs150 billion are based on the replacement of faulty and outdated meters by distribution companies. He added that the installation of new meters will also provide additional financial relief to electricity consumers, which will be reflected in lower costs in demand notices issued for new connections. According to him, reduced prices of smart meters will accelerate the digitalization of the power sector and further improve the efficiency of the national grid.
Highlighting the benefits of smart meters, Sardar Awais Leghari said they will eliminate incorrect readings, enable immediate detection of electricity theft, facilitate prepaid billing, provide consumers with direct access to their electricity usage data, allow faster restoration of power without the need for a lineman, and offer several other advantages.
