Pakistan’s power distribution companies have incurred a significant loss of Rs 143 billion in the first nine months of the fiscal year. This marks an increase of Rs 41 billion compared to the same period last year, according to a report from the Power Division. The report reveals that the loss last year was Rs 102 billion during the same nine-month period. Additionally, the country’s circular debt has grown by Rs 2 billion, now totaling Rs 2,396 billion as of March 2025. This growing debt continues to burden the sector. Last year, circular debt increased by Rs 484 billion, reaching Rs 2,794 billion by March 2024. The rise in losses and circular debt is raising concerns about the financial stability of Pakistan’s power sector. The report also highlighted issues like corruption and overbilling within the distribution companies. These challenges further aggravate the financial crisis facing the sector, making reforms more urgent.