Power minister invites EU investors to join Pakistan’s power sector privatisation push

Federal Minister for Power Sardar Awais Ahmed Khan Leghari has briefed a visiting European Union delegation on reforms in Pakistan’s power sector, highlighting four key areas for modernisation and inviting European investors to participate in privatisation and infrastructure projects.

During the meeting, the minister said the Power Division is prioritising digitisation of the national grid, including large-scale deployment of smart meters, expansion and upgradation of transmission lines, integration of utility-scale battery storage systems, and promotion of local manufacturing of power sector equipment, according to a press release.

He informed the delegation that the government is proceeding with the privatisation of electricity distribution companies (DISCOs), offering opportunities for European firms to participate in the bidding process.

Awais Leghari also outlined structural reforms, including the divestment of old residual fuel oil (RFO)-based power plants. He said excluding around 7,000 megawatts of high-cost plants from the Indicative Generation Capacity Expansion Plan (IGCEP) has resulted in savings of $17 billion.

The European Union delegation, which included Thouraya Trimou, Director of the European Investment Bank, Ramunas Karoblis, EU Ambassador to Pakistan, and other officials, acknowledged the reforms undertaken in the power sector.

Delegates said the measures have improved the investment environment and encouraged European investors to explore opportunities in Pakistan’s energy sector.