PM Shehbaz chairs review meeting on power sector reforms, orders fast-track privatisation

WEB DESK: Prime Minister Muhammad Shehbaz Sharif on Monday chaired a high-level meeting to review ongoing reforms in the power sector, during which he was briefed on progress made under the government’s power sector roadmap.

The prime minister directed authorities to accelerate the privatisation process of electricity distribution companies (DISCOs) and generation companies (GENCOs), stressing that privatisation and the creation of a competitive electricity market offer the only sustainable solution to Pakistan’s long-standing energy challenges.

Emphasising the need to improve electricity transmission, PM Shehbaz instructed that all related development projects be completed on a priority basis. He also directed that work on battery energy storage systems be initiated through public-private partnerships, with active participation from the private sector, to align the power system with modern energy requirements.

During the briefing, officials informed the meeting that steps towards the privatisation of three distribution companies — IESCO, FESCO and GEPCO — were under way, with expressions of interest (EoIs) to be issued soon. The PC-I for the 500kV Ghazi Barotha–Faisalabad transmission line is currently in the approval stage to further strengthen the transmission network.

The meeting was also told that the technical feasibility for shifting imported coal-based power plants to Thar coal has been completed, while work on the railway line to facilitate coal transportation to these plants is ongoing.

Officials further briefed the prime minister on the operationalisation of a competitive power market, noting a reduction in line losses compared to last year due to sustained reform efforts. The concept clearance proposal for the battery energy storage system project has already been approved, and a feasibility study is currently under way.

Federal ministers Muhammad Aurangzeb, Ahsan Khan Cheema, Sardar Awais Ahmed Leghari, Adviser on Privatisation Muhammad Ali, Minister of State for Finance Bilal Azhar Kayani, and senior officials from relevant departments attended the meeting.