By Federal Minister for Economic Affairs and Establishment Division Ahad Cheema chaired a meeting on Power Distribution Companies (DISCOs). The meeting reviewed development programs for DISCOs and discussed the Economic Affairs Division’s (EAD) efforts to arrange funding for installing smart meters on transformers across all DISCOs. Participants noted that positive progress had been made so far in arranging funding for the smart metering system, which is intended to help curb electricity theft and overbilling.
The meeting discussed the continuation of the smart metering project after privatisation. Ahad Cheema said the government would put in place arrangements to ensure that private investors carry the project forward. Smart meters on transformers can help curb electricity theft, improve billing accuracy and protect consumers from overbilling, while safeguarding the interests of consumers, investors and the government.
Negotiations with multilateral partners for development programmes would continue until privatisation is completed. If a DISCO is privatised while negotiations or programme preparations are under way, the relevant financing and development programmes would be transferred to the private investor as part of the handover, subject to agreed arrangements.
Ahad Cheema further emphasised that any new project undertaken by a private investor within a DISCO must be processed through competitive bidding and receive approval from the National Electric Power Regulatory Authority (NEPRA), as applicable.
He stressed that the purpose of privatisation was not to shift costs or undue pressure onto consumers. The government would facilitate the process while safeguarding consumers’ interests and ensuring that investors meet their financial and contractual obligations.
Federal Minister for Power Division Sardar Awais Ahmad Khan Leghari, the Prime Minister’s Adviser on Privatisation, and senior officials from the relevant ministries also attended the meeting.
