The Economic Coordination Committee (ECC) has approved a Rs. 4 billion Technical Supplementary Grant to fund international arbitration cases involving independent power producers and major utility shareholders. The decision aims to support Pakistan’s legal defence in multiple international disputes.
The grant was approved after the Power Division submitted a summary during the committee’s meeting. Finance Minister Muhammad Aurangzeb chaired the session at the Finance Division.
Officials said the allocation will cover legal expenses arising from arbitration proceedings initiated by IPP developers and utility shareholders. The government expects the funding to strengthen its handling of ongoing international cases.
Grant to Support International Arbitration
According to the ECC, the Technical Supplementary Grant will finance several international legal proceedings involving the power sector. These disputes relate to agreements between the government, independent power producers and utility stakeholders.
The committee approved the funding to ensure uninterrupted legal representation in the arbitration cases. Consequently, the government aims to safeguard Pakistan’s interests during the proceedings.
The decision forms part of broader efforts to address financial and legal challenges facing the country’s energy sector. Officials said effective case management remains essential for protecting public resources.
ECC Revises Pension Responsibility for GENCO Employees
In a separate decision, the ECC approved the transfer of pension responsibilities for employees of closed Generation Companies. Under the new arrangement, the respective Distribution Companies will disburse pension payments.
The move seeks to ensure retired employees continue receiving their pensions without disruption. Officials said the revised mechanism would improve the management of retirement benefits.
Both decisions were finalised during the ECC meeting chaired by Finance Minister Muhammad Aurangzeb. The committee said the measures support ongoing reforms in Pakistan’s power and public finance sectors.
