2600% increase in electricity security deposit is unfair, destructive for industries, Junaid Naqi

Karachi: Junaid Naqi, President of the Korangi Association of Trade and Industry (KATI), hasp strongly
rejected the request by Distribution Companies (DISCOs) to increase security depositp charges by nearly
2600%, calling the hike entirely unjust andp illogical. He emphasized that industries and businesses are
already burdened with the highest electricity rates in the country, and such additional charges will
further exacerbate ptheir challenges. If this unreasonable request is approved, it will apply not only
across Karachi but throughout Pakistan, where consumers are already paying the highest electricity
rates in the nation.
Naqi further pointed out that Distribution Companies already hold billions of rupees in unused security
deposits, yet they are demanding an additional increase, which he described as exploitative. He
highlighted that electricity rate hikes have already led to a decrease in consumption, and if further
financial barriers are imposed, it will discourage both new and existing connections, worsening the
ongoing crisis.
Naqi called on the government to make a decisive choice: whether to keep Pakistan on the path of
industrialization or shut down all industries and transition to an import-dependent economy. This
decision, he argued, will determine the future of industry in Pakistan.
The KATI President urged the Ministry of Energy and NEPRA to immediately reject this request and
direct the Distribution Companies to improve their revenue collection systems without passing the
burden onto consumers. He called for policies that ensure affordable and accessible electricity supply,
supporting industrial development and economic stability in the country.