The Economic Coordination Committee (ECC) of the Cabinet on Thursday approved the draft Transaction Advisory Agreement (TASA) reached with the International Finance Corporation (IFC) by Pakistan Civil Aviation Authority (PCAA) for outsourcing the country’s three main airports.
The meeting presided over by Finance Minister Ishaq Dar considered a summary of the Ministry of Aviation on the engagement of IFC as transaction advisor for the outsourcing of Islamabad, Lahore, and Karachi airports.
Economic Coordination Committee of the Cabinet(ECC) meeting chaired by Finance Minister Senator Ishaq Dar, approved number of financial proposals of Power,Petroleum, Aviation and Housing & Works Divisions including engagement of IFC as Tech Advisor for outsourcing three airports pic.twitter.com/uwJ3RiUyep
— Ministry of Finance (@FinMinistryPak) March 30, 2023
It was informed that the outsourcing of three airports has been initiated within the scope of the Public-Private Partnership Act-2017 to engage private investors/airport operators through a competitive and transparent process to run the airports, develop appertaining land assets, and enhance avenues for commercial activities and to garner full revenue potential.
In this regard, IFC, a part of the World Bank Group, has been qualified as a transaction advisor. The ECC after a detailed discussion approved the draft Transaction Advisory Agreement (TASA), reached with the IFC by PCCA for the outsourcing of three airports.
The ECC also considered and approved a number of summaries submitted by the Ministry of Energy (Petroleum Division). They included the declaration of commerciality and field development plan over Hilal and Iqbal discoveries in favor of Mari Petroleum Company Limited (MPCL). The grant of the second two years renewal over the Kirthar exploration license block in favor of Polish Oil & Gas Company Limited (POGC) w.e.f. 28-08-2022 and grant of permission for extended well testing (EWT) over Ghazi-1 discovery to Mari Petroleum Company Limited (MPCL).
Additionally, ECC also decided to provide technical supplementary grants of Rs. 607.6 million in favor of the Ministry of Energy (Power Division) for the execution of development schemes in Sindh province, Rs. 1689.5 million in favor of the Ministry of Housing and Works for the execution of development schemes under SDGs Achievement Programme (SAP) in Khyber Pakhtunkhwa and Sindh provinces and Rs 5 billion in favor of Ministry of Housing and Works for the execution of development schemes in erstwhile FATA.
The ECC deferred a summary submitted by the Ministry of Energy (Power Division) on the implementation agreement signed between the Government of Pakistan and K-Electric on the pending issue of payment of duties and taxes.
Federal Minister for Power Khurram Dastgir Khan, Federal Minister for Industries and Production Syed Murtaza Mahmud, Federal Minister for Commerce Syed Naveed Qamar, Federal Minister for Aviation Khawaja Saad Rafique, Minister for Board of Investment Chaudhry Salik Hussain, Minister of State for Finance and Revenue Dr. Aisha Ghous Pasha, Minister of State for Petroleum Musadik Malik, and former prime minister Shahid Khaqan Abbasi also attended the meeting.