KARACHI: President of the Korangi Association of Trade and Industry (KATI) Junaid Naqi has strongly opposed the proposal by distribution companies (Discos) to raise security deposit charges by nearly 2,600 per cent. He termed the hike as unjustified and illogical, emphasising the adverse impact it would have on industries and businesses already struggling with the country’s highest electricity rates.

Naqi warned that if this unreasonable request is approved, it will not only affect Karachi but also impose additional financial burdens on consumers across Pakistan. He criticised the move, pointing out that distribution companies already hold billions of rupees in unused security deposits, yet are seeking further increases in a bid he described as exploitative.

He further explained that existing high electricity rates have already resulted in decreased consumption, and imposing additional financial barriers will discourage both new and existing connections. This, he argued, will exacerbate the ongoing energy and industrial crises.

Naqi called on the government to make a critical decision: whether to support Pakistan’s path toward industrialisation or risk shutting down industries and increasing dependence on imports. He stressed that this choice would have far-reaching implications for the country’s economic future.

The KATI president urged the Ministry of Energy and the National Electric Power Regulatory Authority (Nepra) to reject Discos’ request outright. Instead, he called for measures to improve revenue collection systems without transferring the burden onto consumers. Naqi emphasised the need for policies that ensure affordable and reliable electricity, fostering industrial growth and economic stability in Pakistan.