PESCO enforces an austerity plan to Reduce Operational Costs and Improve Efficiency as part of a broader government strategy. The move aims to strengthen financial discipline in the energy sector. The Peshawar Electric Supply Company (PESCO) introduced the initiative after guidance from the Government of Pakistan and the Ministry of Energy (Power Division). Officials say the austerity plan will support better resource management and improved operations.
The PESCO austerity plan focuses on cutting unnecessary expenses while maintaining electricity services. According to PESCO CEO Engr Akhtar Hamid Khan, the measures started immediately. The policy encourages responsible spending because energy companies face rising operational costs. These PESCO cost-cutting measures support long-term sustainability in Pakistan’s power sector.
Key Measures Under PESCO’s Cost-Cutting Strategy
The company introduced several steps to promote power sector financial discipline. Offices now follow a four-day work week policy, while Friday remains a work-from-home day. However, field activities will continue because electricity services must remain stable.
Essential operations include power restoration services, consumer complaint handling, and bill distribution and meter reading. Teams also continue the recovery of electricity dues across service areas.
Management grounded around 60 percent of official vehicles for two months. In addition, the company ordered a fuel allocation reduction to control expenses. Authorities also announced a procurement suspension until June 2026 to limit spending on durable items.
The leadership encouraged senior officers to join a salary contribution initiative to support the austerity program. Meetings now take place online through virtual meetings and hearings. Offices also practice electricity consumption reduction by limiting air conditioning and lighting use.
Expected Impact on Power Sector Efficiency
Experts believe these steps will strengthen PESCO operational efficiency and improve power utility financial management. The plan also supports PESCO resource optimization and broader Peshawar Electric Supply Company reforms.
Despite strict austerity measures, the company promised uninterrupted electricity services for consumers.
