A meeting of the Economic Coordination Committee (ECC) of the Cabinet on Monday approved the release of Rs. 24.5 billion for the solarization of 27,000 tube-wells in Balochistan, as committed by Prime Minister Shehbaz Sharif in July 2024.
Chaired by Finance Minister Muhammad Aurangzeb, the cabinet body learnt that the total estimated cost of the project stood at Rs. 55 billion, with the federal government paying for 30% and the Balochistan government 70% of the total sum. The Power Division informed the ECC that the center had already released Rs. 14 billion for the project.
After deliberations, the ECC approved the release of the remaining Rs. 24.5 billion to ensure timely completion of the project. The cabinet body also instructed the Power Division to closely monitor implementation of key components of the project, particularly the disconnection of tube-wells from the national grid and removal of transformers and fixtures for every batch of feeders. It also directed the Power Division to report progress on the project to the ECC in July.
Additionally, the ECC took up a summary submitted by the Petroleum Division for extending the validity period of sovereign guarantees issued against running finance facility of Rs. 50 billion from banks for LNG payments by the Sui Northern Gas Pipelines Limited (SNGPL). The ECC approved the extension up to June 2026 on the basis of the company’s improved cash flows.
The Power Division, meanwhile, briefed the ECC on the implementation status of its September 2024 decision regarding the status of governance of DISCOs whose boards have been reconstituted. It told the ECC that all boards except for SEPCO and HESCO had been reconstituted and a monthly performance monitoring mechanism evaluating key operational, commercial, and financial parameters implemented by the PPMC for all DISCOs. Further, the Power Division said the chairpersons of the BoDs and CEOs of all DISCOs had signed strategic roadmaps in line with the National Electricity Policy in February 2025. The Power Division also shared a summary of the performance of DISCOs in terms of transmission and distribution losses and recovery up to December 2024.
The ECC also took up summaries from various ministries/divisions for the release of Technical Supplementary Grants, approving the following:
Rs. 300 million for the Cabinet Division to operationalize new regulatory authorities and other funding requirements.
Rs. 1,269 million for the Finance Division from funds surrendered by ministries as part of transfer of PSDP projects related to defunct PWD to federal ministries and provincial departments.
Rs. 250 million for the Ministry of Federal Education and Professional Training as part of a Rs. 500 million grant approved by the prime minister for upgradation of Sadiq Public School Bahawalpur.
Rs. 109 million additional funds for Ministry of Interior and Narcotics Control for purchase of contingent equipment and store by Civil Armed Forces on deployment of Formed Police Unit for peacekeeping under the United Nations Peacekeeping Missions.
Rs. 500 million for the Ministry of Interior and Narcotics Control for operational requirement of Frontier Corps North.
Rs. 25.9 million for Ministry of Interior and Narcotics Control for maintenance of Cessna aircraft.
Rs. 2.32 million for Ministry of Interior and Narcotics Control for construction of Michni Training Center, Frontier Constabulary, Khyber-Pakhtunkhwa.
Rs. 556.8 million for Ministry of Law and Justice for functionalizing 36 benches of Appellate Tribunal Inland Revenue across Pakistan. The release of funds by the Finance Division would coincide with the execution of the project.
Rs. 106 million for Power Division for program implementation and awareness activities by the National Energy Efficiency and Conservation Authority (NEECA) for its nationwide fan replacement program, designed with the support of the Power Division, SBP and commercial banks to replace 88 million inefficient fans across Pakistan. The plan aims to reduce peak electricity demand by approximately 5,000MW.