China, Saudi Arabia, Qatar and Türkiye have expressed interest in investing in Pakistan’s power distribution companies (DISCOs) as the government pushes ahead with plans to privatize key electricity utilities.
Officials from the Privatization Commission informed the National Assembly Standing Committee on Privatization that investors from the four countries are exploring opportunities to participate in the upcoming privatization process, likely in partnership with local investors.
According to the briefing, the government has decided to sell between 51 percent and 100 percent stakes in Islamabad Electric Supply Company (IESCO), Gujranwala Electric Power Company (GEPCO), and Faisalabad Electric Supply Company (FESCO).
Officials said international and domestic investors will not be allowed to acquire more than one DISCO, a measure aimed at promoting competition and broadening investor participation in the sector.
To attract potential buyers, the government plans to conduct investment roadshows in China, Saudi Arabia, Qatar and Türkiye, where officials will present opportunities available under the privatization program.
The privatization of power distribution companies is a key component of the government’s broader reform agenda aimed at reducing losses, improving operational efficiency, strengthening service delivery and attracting private sector investment into Pakistan’s energy sector.
The proposed transactions would represent one of the most significant privatization initiatives in the power sector in recent years. The government hopes that private ownership and management will help address longstanding issues facing distribution companies, including high losses, weak recoveries and operational inefficiencies.
The update comes as Pakistan continues efforts to advance structural reforms and attract foreign investment while easing pressure on public finances and improving the performance of state-owned enterprises.
