Aurangzeb meets KE delegation

During a meeting with a delegation form K-electric (KE) on Tuesday, Finance Minister Muhammad Aurangzeb emphasized the need for structural reforms in the power sector to enhance its efficiency and service delivery.

Highlighting the reforms aimed at improving the performance of the power sector, he said the boards of directors will be reconstituted of all distribution companies (Discos) and professionals from the private sector will be appointed, hence reducing the number of government nominees and promoting the overall efficiency.

The KE team presented their seven-year plan, aimed at investing in transmission and distribution infrastructure to generate an additional 2,172 MW of power by 2030. The plan also includes a target of incorporating renewable energy into its generation mix, with a projected capacity of 1,182 MW by 2030. This is expected to reduce the cost of electricity for Karachi residents.

The KE delegation, led by Board of Directors Chairman Mark Skelton, also discussed pending liabilities and other issues with the minister. The team was initially scheduled to meet the Energy Minister Awais Laghari but also held talks with Aurangzeb.

The finance minister reiterated the government’s commitment to encouraging private sector participation in all government-owned Discos and Generation Companies (Gencos). He mentioned that the privatization of three Discos was underway, in line with Prime Minister’s vision to empower the private sector to drive economic growth.

Additionally, KE aims to increase its customer base by 30% to 5 million by 2030, up from 3.5 million. Simultaneously, the company will reduce the duration and frequency of outages by 30%, requiring significant additional infrastructure investments.