Cabinet committee approves 24 entities for privatisation programme

ISLAMABAD: The Cabinet Committee on Privatisation (CCOP) approved 24 entities for the Privatisation Programme 2024-29, ARY News reported.

The CCOP, chaired by Deputy Prime Minister and Foreign Minister Senator Ishaq Dar, also decided that the inclusion of other State Owned Entities (SOEs) in the Privatisation programme will be taken upon completion of the review by the Cabinet Committee on State-Owned Enterprises (CCoSoEs) regarding categorisation of Strategic/Essential SOEs.

After deliberating on the Privatisation policy guidelines, the CCOP considered 84 SOEs reflected in the federal footprint SOEs consolidated report FY2020-22 in detail in light of the SOE Act and Policy.

The CCOP was presented with a phased Privatisation Programme (2024-29) by the Ministry of Privatisation, based on the recommendations of the PC Board, in terms of Section 5(b) of the Privatisation Commission Ordinance 2000.

The CCOP recommended that priority should be accorded to reducing the federal footprint in commercial space and limiting it to the strategic and essential SOEs only. The CCOP emphasised that even SOEs making profits would also be considered for privatisation.

The entities not categorized as strategic or essential will be placed before CCOP for the decision regarding their inclusion in the programme.

The CCOP also considered the proposal for the transfer of shares of Oil and Gas Development Company Limited (OGDCL) lying with the Privatisation Commission to sovereign wealth fund or Ministry of Energy (Petroleum Division).

Meanwhile, the CCOP also granted approval for the budget estimates of the Commission for the fiscal year 2024-25, amounting to Rs. 8,169 million.

Earlier, the federal cabinet greenlighted the privatisation of 13 entities under Pakistan’s Power Division, including nine power distribution companies.

Sources told ARY News that out of the 11 government-owned power distribution companies, nine have been included in the privatisation list. However, Quetta Electric Supply Company and Tribal Electric Supply Company were excluded from the list.

Furthermore, the cabinet also approved the inclusion of power generation companies (GENCOs) in the privatisation list.