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  • Jan 1st, 2005
  • Comments Off on Power sector corporatisation remains incomplete
The corporatisation of power sector remained incomplete because of inefficiency of the Economic Affairs Division (EAD) and half-hearted efforts by Wapda's top brass, it is reliably learnt. President General Pervez Musharraf had set December 31 deadline for the completion of corporatisation process, but Wapda's concerned officials did not properly followed the instructions of the federal government as agreed with the World Bank and the International Monetary Fund (IMF).

Water and Power Minister Liaquat Ali Jatoi also expressed the hope that corporatisation process would be completed as per schedule set by the federal government, but added that the intention of previous Wapda administration was not good as they used delaying tactics. He, however, was hopeful that the present high-ups would co-operate in this regard, which proved wrong.

Some officials in the federal government also think that the high-ups of Wapda were behind the agitation move against privatisation of power sector and that is why the minister in a recent meeting was furious over the mischievous activities of Labour leaders.

The EAD also showed lack of interest in pursuing donor agencies to sign fresh agreements for foreign direct and relent loans from Wapda to corporatised companies.

The Asian Development Bank (ADB) also refused to accept the draft of agreement prepared by the World Bank because of negative pledge, a main concern of the ADB, which is yet to be addressed.

The World Bank has also sought the support of Pakistan Electric Power Company (Pepco) to provide for the restructuring of balance-sheets for some of the distribution companies.

Copyright Business Recorder, 2005


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