Monday, October 5, 2026

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NEPRA Notifies New Performance Standards for Distribution Companies

The National Electric Power Regulatory Authority (NEPRA) has notified sweeping guaranteed performance and overall performance standards for all distribution companies (DISCOs) to ensure compliance, particularly after ongoing privatization plans.

The new Performance Standards (Distribution) Regulations, 2026 issued by NEPRA replace the DISCOs Performance Rules, 2005. The new standards require utilities to provide mandatory consumer compensation, as well as imposing heavy fines, if they fail to meet strict deadlines for restoring power after blackouts, replacing faulty meters, addressing voltage fluctuations, providing new connections and other services.

Under the new rules, there are clear and measurable key performance indicators for assessing the performance of distribution companies. Among these are complaint centers at the circle level going up to DISCOs management instead of relying solely on the existing centralized network. Additionally, DISCOs would be required to conduct biannual consumer satisfaction surveys with an accuracy rate of up to 98%.

The regulations also requires monopolies to operate with speed and transparency, with all DISCOs mandated to create Consumer Facilitation Applications for direct and instant communication channel with consumers. For planned outages, DISCOs have been mandated to provide 48-hour notice to consumers, either through SMS, email or other digital platforms.

Defense establishments would continue to be completely exempt from unilateral power cuts, with any shutdowns for them only possible through mutual and prior agreements.

For unscheduled outages affecting high-load industrial consumers and captive power plants, utilities must give 30-minute advance warnings and provide real-time restoration updates. The only exception to this rule is a certified grid emergency.