The FESCO privatization process has moved forward after the Privatization Commission received 12 Expressions of Interest (EOIs) from local and international investors. The response marks an important step in the government’s plan to privatize power distribution companies and improve the country’s electricity sector.
According to the Privatization Commission, the EOIs were submitted by investors from Türkiye, China, and several major Pakistani business groups. The strong participation from both domestic and foreign investors reflects growing interest in the privatization of FESCO.
Officials said the process will now enter the due diligence stage. During this phase, interested investors will receive access to relevant information about the company. This review will help them evaluate the business before moving to the next stages of prequalification and bidding.
The Privatization Commission explained that due diligence is an important part of the privatization process. It allows potential investors to study the company’s financial position, operational performance, and other important details before making formal bids.
Over the past six months, the commission has remained in regular contact with investors interested in the transaction. Officials said extensive discussions have taken place to explain the proposed privatization framework and answer questions from prospective buyers.
The commission also confirmed that these discussions will continue throughout the next stages of the process. It plans to engage with interested parties regarding the proposed post-privatization framework and future operational arrangements for FESCO.
The government believes privatizing electricity distribution companies can improve the overall performance of the power sector. Officials expect private sector participation to increase operational efficiency and encourage better management practices.
The planned reforms are also intended to promote competition in electricity distribution. Increased competition could encourage innovation and improve service quality for electricity consumers across the country.
Another key objective of the privatization plan is the modernization of power infrastructure. Investment from experienced companies may help upgrade transmission systems, improve distribution networks, and reduce operational losses.
The government also expects these reforms to contribute to lower electricity tariffs over time. Improved efficiency and reduced system losses could help lower operating costs, which may benefit consumers in the future.
Better customer service is another expected outcome of the privatization process. Authorities hope that private sector management will introduce modern service standards, faster complaint resolution, and improved support for electricity users.
The interest shown by investors from multiple countries highlights confidence in the potential of FESCO. Participation from international firms may also bring technical expertise and investment that can strengthen the company’s long-term performance.
The privatization process will continue with prequalification and competitive bidding after the due diligence phase is completed. The final outcome will depend on the evaluation of interested investors and the government’s approval procedures.
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The progress made so far represents another step in Pakistan’s broader privatization strategy. Through the successful privatization of FESCO, the government aims to improve efficiency, strengthen electricity distribution, modernize infrastructure, and provide better services for consumers while supporting long-term reforms in the energy sector.
