Revenue Collection Challenges in LESCO

LESCO (Lahore Electric Supply Company) is one of the biggest power distribution companies in Pakistan which supplies electricity to Lahore and its surrounding areas.

Through this network LESCO bills from thousands of consumers daily but faces many challenges in revenue collection. These challenges not only result in financial loss but also affect the efficiency of LESCO.

Electricity Theft and Non-Metered Connections

The biggest challenge in revenue collection of LESCO is electricity theft. Many people misuse LESCO’s supply by installing direct connections.

There is no LESCO bill for these illegal connections, hence LESCO does not get any revenue from them. This theft is not only a loss for the company but also unfair for honest bill paying consumers who regularly pay their monthly LESCO bill.

Consumer’s Bill Payment Behavior

Many consumers do not pay LESCO bills on time. Some people delay the bill despite being charged late fees or surcharge due to financial issues, while some people forget to pay the LESCO bill just due to negligence, another issue is some time your LESCO bill not receive at  a time so in this type of suitation you must Check LESCO Bill online.

This delay affects LESCO’s cash flow and operational costs are saved. The company needs this money on time for its regular expenses which is not available on time.

Technical Issues and Meter Reading Errors

Many LESCO meter readers note down wrong readings which result in wrong LESCO bills. When a consumer gets a wrong bill, he delays the payment or files a complaint.

This not only slows down the revenue collection but also puts pressure on the company to resolve these issues. Apart from this, faulty meters in some areas are also a reason for inaccurate LESCO bills.

Legal and Recovery Issues

LESCO has to take legal actions to recover many unpaid LESCO bills. This process is time-consuming and sometimes becomes a financial burden because of legal fees and court proceedings.

There are some defaulters who repeatedly fail to pay LESCO bills but despite their connections being cut, they manage to get the supply again through illegal means.

Outstanding Payments of Government Departments

LESCO also faces problems in revenue collection from many government departments. Many government buildings and departments do not pay their LESCO bills for months or even years.

These outstanding payments leave LESCO without the required funds to invest in their infrastructure projects or salaries. This issue needs serious attention from federal and provincial governments.

Lack of Customer Support and Awareness Campaigns

Many people do not know how to deal with a wrong LESCO bill. Lack of public awareness or proper helpline support from LESCO causes consumer frustration and delays in bills. If LESCO improves customer facilitation and awareness campaigns, it will increase consumer trust and help in timely revenue collection.

The challenges in LESCO’s revenue collection affect both the company’s overall performance and consumer satisfaction. Power theft, late payments, inaccurate LESCO bills, and legal hurdles make the system complex. These issues can be resolved through modern technology, awareness campaigns, and strong legal principles. If LESCO ensures timely collection of LESCO bills, it can not only improve its financial position but also make the power distribution system efficient.