PM given powers to appoint, remove and fix tenure of Privatisation Commission board

The Senate on Tuesday passed the Privatisation Commission (Amendment) Bill, 2025, transferring powers from the federal government to the prime minister to appoint, remove and determine the tenure of the chairman, secretary and members of the Privatisation Commission’s board.

The bill was moved by Adviser to the Prime Minister on Privatisation Muhammad Ali and approved by the House during a session chaired by Senator Agha Shahzaib Durrani. Senate Chairman Yousaf Raza Gilani and Deputy Chairman Syedaal Khan were absent.

According to the statement of objects and reasons, Article 90 of the Constitution, as interpreted by the Supreme Court, defines the federal government as the prime minister and federal ministers acting collectively as the cabinet. The amendment seeks to align the Privatisation Commission Ordinance, 2000 with this interpretation.

Under the existing law, the federal government determines the number of board members, their terms and conditions, and has the authority to remove them, although appointments are made by the prime minister. The amendment vests these powers directly in the prime minister and proposes fixing the tenure of board members in the law.

The statement also notes that requiring consultation with the federal government before issuing privatisation notices has proved impractical, suggesting that consultation with the relevant ministry and enterprise would be sufficient. It further corrects inconsistencies in terminology by replacing references to “cabinet” with “federal government” and amending the use of “Government of Pakistan” in the ordinance.

The Senate was adjourned until Friday.