Government Invites Bids to Privatise FESCO, GEPCO, and IESCO
The Pakistani government has formally invited bids for the privatisation of three major power distribution companies — Faisalabad Electric Supply Company, Gujranwala Electric Power Company, and Islamabad Electric Supply Company — in a significant acceleration of its energy sector reform agenda. The move marks a decisive step in the government's commitment to offloading loss-making state-owned distribution utilities, a key structural reform demanded by the International Monetary Fund under Pakistan's ongoing bailout programme. FESCO, GEPCO, and IESCO are among the larger distribution companies in the country's power sector, collectively serving millions of consumers across central Punjab and the federal capital. Their privatisation is expected to attract interest from both domestic and international energy investors seeking to capitalise on Pakistan's substantial electricity distribution infrastructure. Critics have raised concerns about the impact on tariffs and service quality for consumers, particularly if new owners prioritise commercial recovery over universal service obligations. The government has maintained that privatisation is essential to ending the circular debt cycle that has crippled the power sector and placed mounting pressure on public finances.
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