KARACHI, Jan 18: The federal minister for privatization and investment, Dr Hafeez Shaikh, has asked KCCI members to form a consortium and come up with a bid for the privatization of the Karachi Electric Supply Corporation (KESC) , which will be undertaken before June.

"We have been making serious efforts for privatization of the power utility, but, there must be persons ready to take part in the process," the minister said while speaking at a dinner hosted in his honour by the Karachi Chamber of Commerce and Industry (KCCI) at a local hotel on Saturday.

The minister spoke of the tremendous potential and scope of the KESC, which is a monopoly market of some 12 million people. He was of the view that by forming a consortium or a business group with regard to the privatization of the KESC, the KCCI people could help this metropolis. "It's a win-win situation", he remarked.

Mr Shaikh pointed out that serious efforts were being made to privatize the KESC. He said that the Expression of Interest (EOI) had been sought in this regard.

He said that the Water and Power Development Authority (Wapda) had been restructured and several companies were formed as a result. There was an active privatization of three of such companies, he said, and added that the Jamshoro Electric Generation Company and the Faisalabad Electric Company would be privatized within this fiscal year.

The minister said that the Privatization Commission was making efforts to execute the transactions as early as possible. He said that the commission's approach was based on transparent dealing with genuine bidders at appropriate price. He further said that the Privatization Commission had never changed the date of its bidding time and again.

Highlighting the need for privatization of state-owned enterprises, he said that a corporation or firm earned profits only when its owners had cared. "And government is not the owner, who cares," he remarked.

Mr Shaikh dispelled the suspicions about the privatization process of Habib Bank Limited and said that the bank could only go to the people having credentials and who were known to the world.

Commenting on the economic situation of the country, he said that it appeared to be back on track. However, he said, the ship of Pakistan was still in the rough seas needing proper navigation and in this situation a lot depended on the leadership.

"The situation is complex, but, there are opportunities and it depends on us how we work as a team," he added. About the failures in the process of privatization for the last 25 years, he said that it could not be carried out due to the hurdles created by former ministers, secretaries and others, whose interests were harmed by this process.

He said there were people, who verbally supported privatization, but, actually impeded this process. He said that the perks and privileges they were getting from the state-owned enterprises would be lost after privatization.

Mr Shaikh said people were afraid that foreigners would occupy the resources of Pakistan after privatization. Such approach should be abandoned, as there was no discrimination of foreign and domestic investors, he said, adding that whoever competes should be welcomed. "It will create employment opportunities and accelerate economic growth," he maintained.

The minister said that government should concentrate on its own work instead of running fertilizer companies and cement factories. The focus of government must be on improving law and order situation, providing justice and providing macro-economic stability.Earlier, he was welcomed by KCCI President Siraj Kassam Teli . -APP/PPI