WAPDA under the provisions of WAPDA Act, 1958 is responsible for unified and coordinated development of water and power resources of Pakistan and as such is the largest user of public funds. Its operations call for a high degree of financial discipline so as to secure regularity in its transactions and also watch the timely assessment and realization of its revenues on account of sale of power. To achieve this purpose the Authority has set up an independent Internal Audit Organization in 1959.
This organization was headed by the Chief Auditor with one Deputy Chief Auditor for each of its Area Electricity Boards. After creation of DISCOs office of the Deputy Chief Auditor Peshawar has been seconded with PESCO in 2001.
The Internal Audit Division PESCO headed by a Deputy Chief Auditor is responsible to the Board of Directors PESCO for examination of accounts and related record of all PESCO formations.