The Pakistani government aims to hold the final bidding round for Pakistan International Airlines (PIA) by mid-December. The Privatisation Division secretary confirmed this timeline during a National Assembly standing committee meeting on Wednesday.
Four pre-qualified consortia have now entered the final stage of negotiations. Government officials are currently discussing commercial terms, share purchase agreements, and shareholder agreements with these groups. The Privatisation Commission Board will seek final approval for the airline’s reserve price from the federal cabinet.
Committee Chairman Farooq Sattar emphasised that the sale must include strong job protections for PIA employees. The committee officially recommended guaranteeing jobs for at least five years and securing all pensioner benefits. Officials noted that PIA currently operates 18 aircraft and requires 35-38 more for sustainable operations. Future owners must retain the airline’s experienced staff.
Read: PIA Flight Cancellations Mount as Engineer Dispute Enters Sixth Day
Power Division Shifts DISCO Strategy
In a separate significant update, the Power Division revealed a new plan for power distribution companies (DISCOs). Instead of full privatisation, the government is considering long-term concession agreements based on the Turkish model.
This approach would transfer management to private entities for up to 25 years to drive investment and improve infrastructure. The first phase will focus on the electric supply companies in Islamabad, Gujranwala, and Faisalabad, with the process advancing by March.
The Power Division also confirmed a nationwide initiative to replace all three-phase meters with Advanced Metering Infrastructure (AMI) meters by December 2026. This effort aims to reduce electricity theft, with 1.5 million meters already installed in the Iesco region, cutting losses by 2%.
The committee addressed the stalled privatisation of the Pakistan Engineering Company (Peco), now under the purview of the Special Investment Facilitation Council (SIFC). Members directed officials to provide a formal progress report.