The Competition Commission of Pakistan (CCP) held a high-level publication session at its head office to present the findings and recommendations of its recently published report. Study evaluating competition in the energy sector. The session was chaired by Central Control Committee members Mr. Saeed Ahmed Nawaz, Mr. Salman Amin and Ms. Bushra Naz Malik, with the aim of addressing regulatory bottlenecks and promoting a more competitive electricity market.
The event brought together senior officials from key stakeholders, including the Department of Energy (Energy Department), the National Electric Power Regulatory Authority (NEPRA), various power distribution bodies and regulatory bodies such as LESCO, IESCO and the Privatization Commission.
The discussion centered on actionable steps to improve the competitiveness of the energy sector. One of the most important recommendations was the implementation of the Competitive Bilateral Contract Market Model (CTBCM), which allows power generation and distribution companies to directly negotiate electricity sales contracts. CTBCM aims to introduce retail competition, reduce reliance on state-run monopoly facilities and offer more choices to consumers.
Highlighting the importance of corporate governance in addressing the shortcomings that often appear in state monopolies, Mr. Saeed Ahmad Nawaz pointed out that monopolistic practices lead to low transparency and accountability. Comparing Pakistan’s telecommunications and banking sectors, he emphasized how increased competition has led to better consumer choices and efficiency gains, and urged the energy sector to follow a similar path.
“Decentralization and competitive framework are crucial to attract foreign investment and ensure the long-term sustainability of Pakistan’s energy sector,” Nawaz said.
Ms. Kishwer Khan, Director General of CCP, along with Assistant Director Mr. Samiullah Jan Afridi, gave a detailed presentation on the methodology, key findings and recommendations of the committee. Competition evaluation study. They identified systemic challenges, including regulatory inertia, market concentration, and barriers to entry, that are hindering the progress of the sector.
The study calls for reforming the regulatory framework, encouraging private sector participation, and enhancing competition through transparent pricing and market operations.
Stakeholders actively participated in the discussion, asking relevant questions and providing constructive comments. Chinese Communist Party officials have addressed these concerns, stressing their commitment to ensuring a level playing field for all market participants.
The reforms discussed are important not only to improve the efficiency of the energy sector but also to reduce electricity costs for consumers, ensure energy security, and attract foreign direct investment. The CCP’s advocacy aligns with its broader mandate to promote fair competition across sectors, benefiting businesses and consumers alike.