The Privatisation Division told a Senate subcommittee that no new approval from the Council of Common Interests (CCI) is needed to move forward with selling nine power distribution companies (DISCOs), referencing a 2011 decision that had already approved the move.
The division noted that the CCI had given the green light in 2011 for privatising nine DISCOs and three generation companies (GENCOs).
It also pointed to the National Electricity Policy, which the CCI approved on June 21, 2021, and which permits the government to consider privatisation to boost efficiency of state-owned entities where appropriate.
According to the Privatisation Division, the Law Division confirmed in a letter dated September 25, 2026, that the 2011 CCI decision remains valid and no fresh approval is required for the DISCO privatisations.
This stance drew pushback from a Senate subcommittee examining the Privatisation Commission's report on the proposed DISCO sales.
Committee Chairman Zamir Hussain Ghumro voiced concerns about selling entities that perform functions under provincial jurisdiction and asked officials to review the constitutional and legal aspects.
The committee argued that issues involving provincial responsibilities should be referred to the CCI, as per its earlier guidance. Ghumro said the DISCOs' roles could either be legitimised by provincial assembly approval or transferred to the provinces.
The panel also criticised the Privatisation Commission's reply, accusing it of trying to advance the process without fresh CCI consent.
It warned that ignoring its directions could lead to parliamentary action, including the possibility of a privilege motion.
