ISLAMABAD:
Pakistan and Turkiye signed three memoranda of understanding (MoUs) aimed at promoting institutional cooperation, strengthening technical cooperation and improving the exchange of knowledge between their energy sector institutions.
The agreements were signed during high-level consultations in Istanbul between Federal Energy Minister Sardar Awais Ahmed Khan Leghari and Turkish Energy Minister Alparslan Bayraktar.
Two of the MoUs were signed between Pakistan Independent System and Market Operator (ISMO) and Turkiye Energy Exchange (EPIAS) and Transmission System Operator (TEIAS), while a third MoU was signed between Pakistan Power Planning and Monitoring Corporation (PPMC) and Turkiye Electricity Distribution Corporation (TEDAS).
The MoUs cover cooperation on post-privatisation governance frameworks, electricity market development and regulations governing ancillary services. They will also promote educational programmes, study visits and joint projects between the relevant institutions.
The Turkish side expressed its commitment to support long-term institutional cooperation with Pakistan. Both countries agreed to work on strengthening institutional capacity and facilitating the exchange of technical expertise.
The two parties also agreed to strengthen cooperation in electricity system operation and transmission planning, while expanding cooperation on management and digitization of the electricity distribution sector.
Leghari welcomed the signing of the memorandum of understanding and called the bilateral partnerships important for strengthening the energy institutions. He described the MoUs as a key outcome of the energy dialogue and a reflection of the growing strategic partnership between the two countries.
The minister said Pakistan would benefit from Turkiye’s experience in electricity market reforms as well as its expertise in transmission system development and modernization of the distribution sector.
Earlier, the energy ministers of Pakistan and Turkiye held high-level inter-ministerial consultations on the energy sector. During the consultations, the two sides had detailed discussions on reforms and privatization of electricity distribution companies.
The meeting aimed to benefit from international experience in restructuring, commercialization and privatization of Pakistan’s electricity sector. Pakistan followed Turkey’s successful model of privatization of electricity distribution companies.
Leghari reaffirmed Pakistan’s commitment to a transparent and investor-friendly privatization process. “Reforms in distribution companies, improvements in management and strengthening of the regulatory framework are underway,” he said.
Turkiye offered technical assistance for reforms in Pakistan’s energy sector and secured support to increase contact between Pakistani authorities and Turkish companies. It also agreed to share its experience in privatization and electricity distribution.
Turkiye expressed support for Pakistan’s energy sector reform and privatization program while inviting Turkish investors to invest in Pakistan’s electricity sector. Both sides decided to strengthen cooperation with the aim of improving the financial sustainability and performance of Pakistan’s electricity sector. They also agreed to promote a long-term partnership in the energy sector.
