The World Bank has approved an additional $55 million for Pakistan’s electricity distribution companies (Discos) under the Electricity Distribution Efficiency Improvement Project.Â
The approval, granted on June 27, 2025, by the World Bank’s Board of Executive Directors, aims to improve the operational and financial performance of the Hyderabad Electric Supply Company (HESCO) and Peshawar Electric Supply Company (PESCO).
This additional financing will support the deployment of Asset Performance Management Systems (APMS) to enhance the efficiency of these Discos. HESCO and PESCO, currently among the lowest-performing distribution companies, have not been included in the government’s privatization plans.
The project’s goals align with Pakistan’s broader power sector reform agenda and the Country Partnership Framework (CPF) between Pakistan and the World Bank.Â
The additional funds are expected to improve operational efficiency in the targeted areas of these Discos, in line with the objectives of the Electricity Distribution Efficiency Improvement Project.
The financing agreement, project implementation details, and related documents were discussed during technical meetings held in Islamabad on June 18, 2025. This funding is part of a continuing effort to modernize Pakistan’s power sector and is intended to further support the reform process.
As per World Bank procedures, project details and agreements will be made publicly available in accordance with the Bank’s Access to Information Policy.
