Pakistan’s Ministry of Energy’s Power Division signed a Transaction Advisory Services Agreement with the International Finance Corporation (IFC) on April 20, 2026. This agreement aims to deploy smart electricity meters across the country.
The IFC will conduct a comprehensive techno-commercial assessment for deploying smart metering infrastructure covering 10 million single-phase consumer connections. This initiative is part of Pakistan’s broader strategy to digitize its national power distribution system.
The government has mandated the installation of smart meters for every new connection, effectively discontinuing conventional meters. Existing three-phase consumer meters will also be converted to smart meters within a specified deadline.
Advanced Smart Metering Infrastructure (AMI) is a central pillar of this reform agenda. It enables real-time tracking of electricity consumption, which is expected to enhance transparency and operational performance.
An international competitive bidding process has already resulted in a 40 percent reduction in the procurement cost of smart meters. The initiative is poised to attract local and international investors for the smart metering infrastructure.
Yet, this move comes as part of ongoing reforms aimed at replacing legacy infrastructure with modern systems. The government is stepping up efforts to improve recovery, reduce system losses, and enhance overall efficiency.
The initiative is expected to attract both local and foreign investment and support the transition toward a digital power system. Officials anticipate that the rollout will significantly impact energy management in Pakistan.
Details remain unconfirmed regarding specific timelines for implementation or investor participation. However, initial reactions from stakeholders have been optimistic about the potential benefits.