ISLAMABAD – The Cabinet Committee on State-Owned Enterprises has approved the winding up of ENAR Petrotech Services Limited (ESPL). The committee, chaired by Federal Minister for Finance & Revenue Muhammad Aurangzeb, also decided on restructuring and preparing two power distribution companies, Tesco and Qesco, for privatization.
During a meeting at the Finance Division on Thursday, the committee reviewed summaries from various ministries and divisions regarding the categorization of their state-owned enterprises (SOEs) as strategic or essential. The committee approved the summaries from the Power Division, Ministry of Industries & Production, and Ministry of Overseas Pakistanis & Human Resource Development. The agenda of the Petroleum Division was deferred for further consideration.
Sources indicated that the Power Division’s summary revealed that most power distribution companies are already on the privatization list. Tesco and Qesco will be restructured before their privatization. The committee also determined that the generation companies are not essential for retention in the public sector.
The committee discussed the status of Nespak, noting that its functions could be performed by private sector entities. It directed the Power Division to prepare a restructuring plan for Nespak to facilitate private sector participation.
The Ministry of Industries & Production was instructed to reconstitute the boards of the Export Processing Zone Authority (EPZA) and the Small and Medium Enterprises Development Authority (Smeda) and reform their governance structures in line with the SOEs Act.
Additionally, the committee considered the Petroleum Division’s recommendations and approved the inclusion of Saindak Metals Limited (SML) and Pakistan Mineral Development Corporation (PMDC) in the privatization program.
