The Ministry of Energy (Power Division) has taken a major step toward improving customer service and operational efficiency through the large-scale rollout of smart meters across electricity distribution companies (DISCOs) in Pakistan.
A spokesperson of the Power Division stated that metering plays a vital role as the key interface between the customer and the service provider. In line with the Ministry’s declaration of 2025–26 as the “Year of Customer Service Improvement”, DISCOs have embarked on a comprehensive digitalization drive to modernize their infrastructure. This initiative aims to ensure real-time data availability, transparency, and enhanced customer experience.
Recognizing that the pricing of smart meters was a major impediment in this transformation, the Power Division actively intervened to rationalize costs. Out of nearly 38 million electricity consumers nationwide, around 80% are single-phase users. Until recently, the cost of a single-phase smart meter was around PKR 20,000 — significantly higher than international benchmarks. Through strategic interventions, open and transparent procurement, and continuous monitoring, the price has now been reduced to approximately PKR 15,000.
The spokesperson highlighted that this intervention alone will result in an estimated annual national saving of around PKR 25 billion considering 5million meter replacement per annum. The reduced meter cost will also ease the financial burden on consumers applying for smart meters, making advanced technology more affordable and accessible. It is further anticipated that through upcoming international competitive bidding processes, the prices will decline even further.
This intervention will also ensure significant improvement in the meter reading process, as human involvement will be minimal. Automated and remote readings will not only enhance accuracy but also build consumer trust in the billing system. The elimination of manual readings will address long-standing concerns about faulty or disputed readings, fostering a more transparent and reliable relationship between consumers and their respective DISCOs.
Once deployed, smart meters will enable consumers to monitor their electricity usage in real time through mobile applications equipped with modern features. This will empower consumers to better control their energy consumption and manage their electricity costs.
Major Benefits for Consumers:
- Real-time monitoring of electricity usage
- Greater control over energy consumption and billing
- Accurate, tamper-proof meter readings
- Future enablement of prepaid metering services
Major Benefits for DISCOs:
- Remote meter reading and billing accuracy
- Faster billing and complaint resolution
- Enhanced visibility and control of the power network
- Real-time outage detection and quicker fault restoration
- Improved safety and operational management
This initiative marks a significant milestone in the Power Division’s continued efforts to digitalize Pakistan’s power sector and provide efficient, transparent, and customer-centric electricity services. It is a key step toward the digitalization of the power distribution system, which remains a crucial part of the ongoing power sector reform agenda of the Government of Pakistan.
