ISLAMABAD: Pakistan has launched one of its most ambitious power sector privatisation drives, inviting local and international investors to acquire controlling stakes in three of the country’s largest electricity distribution companies: Faisalabad Electric Supply Company, Gujranwala Electric Power Company and Islamabad Electric Supply Company.

The Privatisation Commission has issued Expressions of Interest for the sale of 51 percent to 100 percent shares in FESCO, GEPCO and IESCO, along with full management control. The move marks a decisive step in the government’s strategy to overhaul the energy sector, cut financial losses and improve electricity services for millions of consumers.

Collectively known as Batch I DISCOs, the three companies serve nearly 15 million electricity users across Punjab, Islamabad, Rawalpindi and Azad Jammu and Kashmir. FESCO supplies power to more than 5.7 million consumers, GEPCO serves around 5.1 million, while IESCO caters to over 4.1 million customers.

The transaction structure was approved by the Cabinet Committee on Privatisation under the chairmanship of Deputy Prime Minister Ishaq Dar. Officials say private ownership is expected to strengthen governance, modernise operations and significantly reduce transmission and distribution losses that have burdened the national exchequer for years.

Interested investors, including consortiums, must submit separate Expressions of Interest and Statements of Qualification for each company. A non refundable processing fee of 5,000 dollars or approximately Rs1.4 million has been fixed for each DISCO. Only pre qualified bidders will gain access to detailed financial data and bidding documents.

Submission deadlines are July 7 for FESCO, August 6 for GEPCO and September 7 for IESCO. Officials describe the sale as a cornerstone of Pakistan’s energy reform agenda and a potentially game changing opportunity to transform the country’s struggling power distribution system.