As the government pushes for the DISCO sell-off, ADB promises $130 million for Pakistan’s energy sector.

The Asian Development Bank (ADB) has provided $130 million to boost Pakistan’s energy industry, with $30 million currently available for immediate use, as the government speeds up reform and privatization measures.

Joonho Hwang, Director of Energy at ADB, underlined the Bank’s long-standing collaboration with Pakistan during a meeting with Federal Minister for Power, Sardar Awais Ahmad Khan Leghari. He promised that ADB would provide full assistance for the privatization of distribution firms (DISCOs), modernization of transmission and distribution systems, promotion of renewable energy projects, and the formation of a carbon market.

According to reports, “Pakistan has shut down around 2,800 MW of fossil fuel power plants ahead of schedule as part of its environmental responsibility.”

Minister Leghari stated that three DISCOs will be privatized in the first phase, with both investment and technical support expected to play significant roles. He stressed the government’s commitment to renewable energy, stating that “Pakistan has shut down around 2,800 MW of fossil fuel power plants ahead of schedule as part of its environmental responsibility.”

He noted that the country is seeking international assistance to strengthen grid and metering systems, as well as access to green financing and carbon credits.
The minister also highlighted ongoing measures, such as the implementation of a new tariff for electric vehicles, and emphasized that openness, sustainability, and contemporary technology remain at the center of all government operations.