The Standing Committee of the National Assembly on Privatization met at Parliament House, Islamabad, under the chairmanship of Mr. Muhammad Farooq Sattar, MNA, and reviewed progress on the privatization of DISCOs and Pakistan International Airlines Corporation Limited (PIACL), besides considering the issue of delayed Postal Life Insurance maturity claims.

 

The Committee received a briefing on the progress of DISCO privatization and was informed that M/s Alvarez & Marsal, Financial Adviser to the Privatization Commission, had completed due diligence, following which the Restructuring Plan and Transaction Structure were approved by the Privatization Commission Board and CCoP. Under the approved structure, 51% to 100% shareholding, along with management control, of each DISCO is proposed to be divested. The Committee was informed that the EOI process had been completed, with 10 parties pre-qualified for FESCO, 11 EOIs/SOQs under evaluation for GEPCO, and the IESCO process completed on 7th September 2026. The Committee stressed the need for a transparent, competitive and market-based process, appropriate valuation and reserve price, effective post-privatization regulation and NEPRA oversight, along with periodic financial and performance audits. 

 

The Committee reviewed progress on the privatization of PIACL and was informed that bidding for a 75% equity stake was held on 23rd December 2025, with the Arif Habib-led Consortium submitting the highest bid of Rs.135 billion against the reference price of Rs.100 billion. Transaction documents were executed on 29th January 2026, and First Completion was achieved on 29th June 2026, resulting in transfer of management control. The successful bidder has conveyed its intention to exercise the Call Option for the remaining 25% stake, subject to applicable contractual requirements and Second Completion. The Committee emphasized continued regulatory oversight, service quality and compliance with applicable aviation laws and international standards.

 

The Committee reviewed the issue of outstanding policyholders’ claims of Postal Life Insurance Corporation Limited (PLICL) and was informed that liabilities up to June 2026 stood at Rs.15.500 billion, covering approximately 55,450 claims. Against the additional funding requirement of Rs.8.455 billion, only Rs.3.00 billion had been released, leaving a substantial backlog. The Committee directed the concerned authorities to consider additional funding through Supplementary Grant in December 2026 to facilitate settlement of the maximum possible outstanding claims, particularly those of vulnerable policyholders.

 

The meeting was attended by Honourable Members Mr. Abdul Qadir Khan, Ms. Saba Sadiq, Ms. Sehar Kamran, Ms. Natasha Daultana, Maulana Abdul Ghafoor Haideri and Mr. Arshad Abdullah Vohra. The Secretary, Ministry of Privatization/Privatization Commission, along with senior officers of the Ministry of Finance and Postal Life Insurance Corporation Limited (PLICL), also attended the meeting.