QUETTA: The Economic Coordination Committee (ECC) of the Cabinet approved the solarization of 27,000 agricultural tube wells in Balochistan, with the federal government covering 70 percent of the cost. The ECC also approved several technical supplementary grants, a common practice since the IMF restricted supplementary grants.
As per the details, the ECC learned that boards of directors for most power distribution companies (Discos) have been restructured, except for Sukkur Electric Supply Company (Sepco) and Hyderabad Electric Supply Company (Hesco), where the process is nearly complete. Sources indicated political pressures as the cause of the delay, though no official reason was provided.
A monthly performance monitoring system for Discos, covering operational, commercial, and financial metrics, has been introduced by the Power Planning and Monitoring Company (PPMC).
Strategic roadmaps aligned with the national electricity policy were also signed by Disco chairpersons and CEOs in February 2025. The Power Division shared Disco performance data on transmission and distribution losses and recovery up to December 2024.
The ECC, chaired by Finance Minister Muhammad Aurangzeb, reviewed a Petroleum Division proposal to extend sovereign guarantees for a Rs50 billion financing facility for LNG payments by Sui Northern Gas Pipelines Limited (SNGPL). The committee approved the extension until June 2026, citing improved company cash flows.
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The ECC also discussed the solarization of 27,000 tube wells in Balochistan, approved by Prime Minister Shehbaz Sharif on July 2, 2024, at an estimated cost of Rs55 billion, split 70:30 between the federal and Balochistan governments.
The federal government has released Rs14 billion, and the ECC approved an additional Rs24.5 billion to ensure timely completion. The Power Division was instructed to monitor the project, particularly the disconnection of tube wells from the grid and removal of transformers, and to report progress to the ECC in July.
The ECC approved several technical supplementary grants, including:
- Rs300 million for the Cabinet Division to support new regulatory authorities and other funding needs.
- Rs1,269 million for the Finance Division, surrendered from ministries for PSDP projects transferred to federal and provincial departments.
- Rs250 million for the Ministry of Federal Education and Professional Training for upgrading Sadiq Public School Bahawalpur.
- Rs109 million for the Ministry of Interior and Narcotics Control to purchase equipment for civil armed forces deployed in UN peacekeeping missions.
- Rs500 million for the Ministry of Interior and Narcotics Control for operational needs of Frontier Corps (KP) North.
- Rs25.9 million for the Ministry of Interior and Narcotics Control for Cessna aircraft maintenance.
- Rs2.32 million for the Ministry of Interior and Narcotics Control for constructing the Michni Training Centre, Frontier Constabulary, Khyber Pakhtunkhwa.
- Rs556.8 million for the Ministry of Law and Justice to operationalize 36 benches of the Appellate Tribunal Inland Revenue.
- Rs106 million for the Power Division for the National Energy Efficiency and Conservation Authority (NEECA) to support a nationwide fan replacement program, aiming to reduce peak electricity demand by about 5,000 megawatts.
