Pakistan's circular debt tops Rs5,306bn in power, gas
Officials told the National Assembly that unpaid K-Electric bills drove the power-side rise, while Rs1,783 billion of the gas sector debt is late-payment surcharges.
Combined power and gas circular debt stood at Rs5,306 billion on June 30, 2026.
Power sector debt rose Rs34 billion in a year to Rs1,675 billion; officials blamed unpaid K-Electric bills for grid electricity.
Gas sector debt rose Rs344 billion to Rs3,631 billion, including Rs1,783 billion in late-payment surcharges.
The government ended take-and-pay deals with independent power producers and introduced a hybrid model.
15 villages in Dera Ismail Khan still have no electricity; their supply project depends on funds and equipment.