ISLAMABAD – Pakistan has reportedly refused an offer made by the Saudi visiting delegation over acquisitions of two mega power plants.
The Kingdom’s desire to acquire the two LNG-based power plants through state-to-state agreement has been politely declined.
Saudi Arabia wanted to take over state-owned 2,446 megawatts Haveli Bahadur Shah and Baloki power plants under a sovereign deal but the offer was turned down as the existing law, Privatisation Ordinance, do not provide any ground to selling the assets without rigorous bidding process, local media reported, citing sources.
It was informed to the delegation that only due legal process, which is bidding, will be adopted to sell the projects which are already completed.
Both the power plants had been set up during the previous government of the Pakistan Muslim League-Nawaz (PML-N) with the total cost of Rs191 billion.
Official sources said that a state-to-state deal regarding Greenfield project can be inked with Saudi Arabia without going into the competitive process.
A Saudi delegation led by Ahmed Hamed Al-Ghamdi, Adviser to the Saudi Minister for Energy, is in Islamabad on a five-day tour with an aim to find investment opportunities in Pakistan.
The Saudi delegation also held technical-level talks to review the possibility for investment in Reko Diq gold and copper mines.