NA Committee Stresses Transparency, Regulatory Oversight in DISCOs, PIA Privatization
ISLAMABAD, (APP - UrduPoint / Pakistan Point News - 17th Sep, 2026)
National Assembly Standing Committee on Privatization Meeting
The National Assembly Standing Committee on Privatization emphasized the following points during its meeting chaired by Muhammad Farooq Sattar, MNA:
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Transparency and Market-Based Process: The committee stressed the need for a transparent, competitive, and market-based process in the privatization of DISCOs (Electricity Distribution Companies) and Pakistan International Airlines Corporation Limited (PIACL).
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Appropriate Valuation and Reserve Price: They advocated for an appropriate valuation and reserve price to ensure fair transactions.
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NEPRA Oversight and Financial Audits: Effective post-privatization regulation, NEPRA oversight, and periodic financial and performance audits were deemed crucial.
DISCO Privatization Update:
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Due Diligence Completed: M/s Alvarez & Marsal, Financial Adviser to the Privatization Commission, finished due diligence. The Restructuring Plan and Transaction Structure were approved by relevant boards.
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Proposed Shareholding: 51% to 100% shareholding along with management control of each DISCO is planned for divestment.
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EOI Process: Ten parties were pre-qualified for FESCO, 11 EOIs/SOQs are under evaluation for GEPCO, and the IESCO process concluded on September 7, 2026.
PIACL Privatization:
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Bidding Process: Bidding for a 75% equity stake was held on December 23, 2025, with the Arif Habib-led Consortium submitting the highest bid of Rs.135 billion against a reference price of Rs.100 billion.
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Transaction Completion: Transaction documents were executed on January 29, 2026, and First Completion was achieved on June 29, 2026, transferring management control.
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Call Option: The successful bidder intends to exercise the Call Option for the remaining 25% stake, subject to contractual requirements and Second Completion.
Postal Life Insurance Corporation Limited (PLICL) Claims:
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Liabilities: Liabilities as of June 2026 stood at Rs.15,500 billion, covering approximately 55,450 claims.
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Funding Backlog: Only Rs.3.00 billion out of the required Rs.8.455 billion has been released, resulting in a substantial backlog.
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Committee Directive: The committee directed authorities to consider additional funding through a Supplementary Grant in December 2026 to settle maximum outstanding claims, especially those of vulnerable policyholders.
Meeting Attendees:
Abdul Qadir Khan, Ms. Saba Sadiq, Ms. Sehar Kamran, Ms. Natasha Daultana, Maulana Abdul Ghafoor Haideri, and Arshad Abdul