Think tank proposes Discos’ gradual sell-off
ISLAMABAD: The Sustainable Development Policy Institute (SDPI) has recommended the privatisation of power distribution companies (Discos) in a phased manner to analyse the regulatory framework and identify potential obstacles before scaling up the divestment of other companies. This plan should begin with the most financially viable Discos and gradually include others, ensuring that the process is manageable and that lessons from earlier phases are applied to subsequent ones, SDPI suggests in its new report, “Privatisation of Pakistan’s Power Utility Sector”. The report says the Ministry of Energy, in collaboration with the National Electricity Power Regulatory Authority (Nepra), must establish a framework that governs the privatisation of Discos, including precise and cost-reflective tariff-setting mechanisms, service quality standards, and consumer protection measures, ensuring that private investors are held accountable for meeting these standards while maintaining transparenc...