Islamabad [Pakistan], April 28 (ANI): The Pakistani government has finalised a plan to privatise profit-making power distribution companies (Disco), adding that electricity prices are likely to go up reported ARY News, citing sources.
According to the sources, the Shehbaz-led coalition government has finalised this plan to privatise five profit-making power companies.
The power companies include Lahore Electric Supply Company (LESCO), Faisalabad Electric Supply Company (FESCO), Gujranwala Electric Power Company (GEPCO), Multan Electric Power Company (MEPCO) and Faisalabad Electric Supply Company (FESCO).
In the first phase, the government has decided to constitute a new board for power companies, adding that the privatisation ministry has sent a summary to the cabinet regarding the formation of a high-powered 12-member board for Discos privatisation, ARY News reported.
These 12 members of the board will be the directors of all five discos and will look over all the privatisation processes of profit-making discos, sources said.
They added that electricity prices are likely to go up with the privatisation of power companies.
Earlier, the caretaker government approved privatising loss-making power entities.
Notably, the federal government last month ‘okayed’ deputation of Federal Investigation Officers (FIA) officers to electricity distribution companies (DISCOs) to end power theft, reported ARY News.
The move was taken to end power theft and enhance recoveries on the demand of the International Monetary Fund (IMF).
It came after power theft in power distribution companies (DISCOs) reportedly resulted in Rs 438 billion loss to the national kitty, reported ARY News.
The losses soared to over Rs 438 billion out of the total annual billing of Rs 723 billion, the sources mentioned.
Moreover, the power division had declared that the power supplying companies in Hyderabad, Sukkur, Peshawar, Quetta, and Tribal areas as the worst-performing DISCOs. (ANI)
