ISLAMABAD:
Federal Minister for Energy Sardar Awais Ahmed Khan Leghari said on Tuesday that the first 200 megawatt (MW) electricity transaction under the newly launched Competitive Market Operations Date (CMOD) regime is expected to be completed by June this year, marking a significant milestone in Pakistan’s transition to a competitive electricity market.
Addressing the CMOD declaration ceremony, the minister said that the reform journey, initially envisioned decades ago and initiated in 2016-17 in its practical form, had finally entered the implementation phase after years of deliberation and institutional foundation.
Reflecting on the delay in implementation despite the conceptual approval of competitive market reforms in the early 1990s, the minister termed it a government delay that cost the country valuable time.
“When you conceptualize something and approve it in 1992, but only begin serious implementation almost two decades later, it reflects the challenges in our governance framework,” he noted.
The minister emphasized that the reform was an institutional collaborative effort and appreciated the role of senior officials.
Highlighting the ongoing challenges, the minister noted that certain procedural and regulatory matters, including the determination of road charges, were still pending. He said a summary had been moved for the Prime Minister’s consideration and expressed optimism that after April, auction-related transactions would proceed smoothly.
“We expect the first 200MW transaction to be completed by June this year. It has taken 20-25 years of discussions and efforts. Achieving this will be a big step forward,” he noted.
Leghari expressed hope that the transition from wholesale to retail electricity market would proceed at a much faster pace than previous reforms. He emphasized the need to adopt global best practices instead of relying solely on domestic trial-and-error learning.
