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Thursday October 03, 2024

Leghari criticises slow decision-making in power sector

He said slow pace of decision-making in power sector has led to project delays and heightened uncertainty

By Israr Khan & Khalid Mustafa
September 21, 2024
A representational image of a transmission tower, also known as an electricity pylon. — AFP/File
A representational image of a transmission tower, also known as an electricity pylon. — AFP/File

ISLAMABAD: Minister for Energy (Power Division) Awais Khan Leghari Friday criticised “slow pace of decision-making” in Pakistan’s power sector, citing delays in project execution and growing uncertainty as significant challenges.

At a meeting, the minister invited international development partners to propose solutions aimed at creating a more efficient, productive and transparent power sector and streamlined decision-making for faster project delivery.

Energy Minister encouraged development partners to collaborate with distribution companies to upgrade technology and improve power management. He said slow pace of decision-making in power sector has led to project delays and heightened uncertainty. He emphasised government’s commitment to restructuring National Transmission and Dispatch Company (NTDC) to create a more robust and sustainable energy system.

The meeting was held as a follow-up of the meeting with Prime Minister Shehbaz Sharif held one month back. In the meeting, Federal Minister Ahad Cheema had pointed out the donors are concerned over massive delays in the power sector projects.

The premier in that meeting had asked Power Division’s top mandarins to arrange donors’ meeting with chairmen of Board of Directors of NTDC and all DISCOs to address their concerns.

The minister’s comments came during a landmark introductory meeting that brought together the chairpersons of power distribution companies (DISCOs) and their CEOs, NTDC and global development partners, including representatives from World Bank, Asian Development Bank and Islamic Development Bank. This was the first time in country’s history such a diverse group had convened to devise a comprehensive strategy for the future of power sector.

The minister said future power projects must not face delays and cost overruns, stressing the need for strict adherence to timelines and budgets to meet country’s growing energy demands.

“Transparency is a key part of our vision, and we need faster, data-driven decisions to serve the public interest”, Leghari said, emphasising importance of better data-handling and investment planning to reduce electricity costs for consumers. Leghari also stressed importance of expediting installation of smart meters and enhancing efficiency of power distribution networks.

Acknowledging current infrastructure and technological shortcomings, Leghari reiterated the need for greater transparency in decision-making processes. “We need a more transparent system, and Power Division is working towards achieving that goal”, he said.

He advocated for greater delegation of authority to avoid the need for every decision to be referred to NTDC board.

The minister praised the vision of newly-appointed chairpersons of distribution companies and NTDC’s board, urging them to focus on transparency, enhance performance and resolve pending issues more efficiently. The partners showed their willingness to extend expertise to help improve governance and decision-making in DISCOS, particularly in NTDC which is dealing with mega projects of paramount importance.