NPPMCL privatization would not be affected by sectoral issues: Mian Soomro

ISLAMABAD (APP) – Federal Minister for privatization Muhammad Mian Soomro said the privatization of National Power Parks Management Company Limited (NPPMCL) would not be affected by any perceived sectoral issues emanating from recent developments.

He said this while addressing an important meeting regarding the privatization of power plants and related power sector reforms.

Minister Soomro said without addressing the concerns of investors “we could not retain investors’ interest and appetite.”

He assured the investors that their remaining concerns would be addressed in an amicable manner and asked the transaction officials and financial advisors concerned to interact with line ministries/ divisions for early provision of relevant information and solutions to the potential buyers.

He said privatization of NPPMCL had attracted unprecedented interest and 12 out of the total 23 parties were prequalified for bidding, which was previously scheduled to take place in mid-April this year, but due to pandemic and international travel advisory restrictions, the timeline was modified accordingly.

He informed the high profile local and international potential investors including Qatar Investment Authority, EDRA, GPSC, Jera and KAPCO, Atlas Power, Asma Capital, Nebras Power among others showed interest in the said transaction.

In the meeting the investment opportunities were highlighted. The meeting was attended by State Minister for Power, Shehzad Qasim, Special advisor to the Prime Minister on Petroleum Nadeem Baber, privatization secretary, Power Division secretary, PPIB managing director, Finance joint sectary, senior officials from NEPRA and privatization.

The agenda of this crucial meeting was to interact with potential power sector investors and address their queries regarding future debt financing, timeline extension, and sectoral issues. The financial advisors and potential investors joined the meeting online.

Nadeem Baber and Shehzad Qasim explained government’s future policies and power sector reforms. The issues which were discussed related to IPPs, tariff matters, reduction of circular debts, improved power efficiency, reduction in power cost, raising financing and its cost and ongoing energy plan.

The team of investors appreciated the privatization ministry for all out assistance and also requested for the extension in timeline as the site visit could not be undertaken due to COVID-19 and travel restrictions.

Privatization Minister Mohammed Mian Soormro thanked the cabinet members, secretaries and all other participants in the meeting.