The licence empowers company to distribute electricity within DHA City Karachi from 1 October 2026 until 30 September 2046, subject to compliance with NEPRA’s tariff, power procurement, consumer protection and other regulatory requirements.
K-Electric however argued DHA City Karachi already falls within its consumer base and that the project’s electricity demand has been incorporated into the utility’s long-term capacity planning. KE also questioned whether DHAESCPL had adequately demonstrated its plans for power procurement, tariff approvals, infrastructure investment, consumer protection measures and compliance with national grid codes.
DHAESCPL told the regulator that its existing electricity supply arrangement with K-Electric is temporary and is scheduled to expire on 30 September 2026. The company said Lucky Cement Limited would initially provide 6 megawatts of electricity, while applications relating to tariffs, the Power Acquisition Programme and other regulatory approvals would be submitted separately after the licence became effective.
GEPCO also opposed the application, arguing that it lacked sufficient details on proposed interconnection points, metering arrangements, financial capability and plans to meet DHA City Karachi’s projected electricity demand of 924 megawatts. The distribution company further questioned whether the proposed system would align with Pakistan’s future Competitive Trading Bilateral Contract Market (CTBCM) framework.
DHAESCPL however said the project remains at an early stage and is currently sourcing electricity from Lucky Cement, while technical studies are underway for future interconnections with the National Grid and other power sources.
CPPA-G expressed reservations over the company’s financial strength and future electricity procurement mechanism. DHAESCPL assured NEPRA that it would operate solely as a distribution and supply company. It said a separate entity would be established if electricity generation becomes necessary in the future and pledged not to enter into bilateral power purchase agreements without prior approval of its Power Acquisition Programme.
After reviewing objections and the company’s responses, NEPRA concluded that DHAESCPL had satisfactorily addressed the concerns raised by KE, GEPCO, CPPA-G and other stakeholders. The regulator acknowledged that while DHAESCPL’s paid-up capital and net worth are limited, its parent organisation, DHA Karachi, is financially strong and has already invested billions of rupees in electricity infrastructure.
DHA City Karachi now get empowered to independently distribute electricity within its service area. Spread across nearly 22,000 acres, DHA City Karachi is expected to accommodate around one million residents over the next five to six years, prompting the development of dedicated electricity infrastructure.
The design of 2 grid stations has been completed, with construction expected to begin next year. 3MW of solar panels have already been installed in the project’s parking area, while 6-7MW of electricity is currently being sourced from Lucky Cement during the initial phase. The new system aims to simplify electricity connections, improve maintenance and provide more reliable power supply under normal operating conditions. Electricity tariffs, however, will remain subject to NEPRA-approved rates.
DHA Energy Supply Company gets 20-year license to distribute electricity until 2046
