The National Assembly’s Standing Committee on Privatisation was informed on Monday that the final bidding process for Pakistan International Airlines (PIA) is expected to conclude by October, while financial audits of three distribution companies – IESCO, FESCO, and GEPCO – are scheduled to be completed by August 30.
At the meeting chaired by Farooq Sattar, officials said that the privatisation of PECO’s land has been referred to the Special Investment Facilitation Council (SIFC) for further consideration.
The Secretary for Privatisation added that due diligence for PIA’s privatisation is already underway, with multiple business houses showing interest. The committee was told that the process is expected to finish in the last quarter of the year, and members directed that PIA’s privatisation be conducted transparently. The panel also requested a list of Privatisation Board members to be presented at the next meeting.
Committee member Ali Asghar Khan raised concerns regarding pre-qualified bidder Fauji Fertilizer Company Limited, stressing the need for a level playing field for all potential participants.
On the issue of PECO, the committee advised that efforts should first aim at restoring the organization. If restoration is not feasible, privatization may be pursued. Members also directed an investigation into irregularities during the tenure of former Managing Director Anees and requested a detailed report.
Officials from the Ministry of Industries and Production highlighted a possible decline in the government’s shareholding in PECO from 68% to 33%, which has also been referred to the SIFC. A financial audit of the company for the past ten years has been ordered.
Regarding the privatisation of DISCOs, Joint Secretary of the Ministry of Power Ghulam Rasool said that audits for IESCO, FESCO, and GEPCO will be completed by August 30, 2025, while the audit of MEPCO will be finalized by September 30, 2025.
The panel raised concerns about load-shedding nationwide. Officials clarified that electricity shortfall is not the issue, but load management is applied to feeders with high theft or excessive line losses. Members recommended targeting only the problematic feeders or consumers rather than imposing load-shedding across entire areas.
Serious concern was also expressed over the privatisation of Utility Stores Corporations. The Secretary confirmed that operations have ceased but assured that safeguarding the rights of 10,000 to 11,000 employees remains a priority.
The committee was told that Utility Stores were profitable when subsidies were in place, but losses occurred after withdrawal. The government plans to settle employee and vendor dues totalling Rs27 billion in two phases and will provide a detailed breakdown at the next meeting.
