ISLAMABAD, Oct 14: The Economic Coordination Committee of the Cabinet decided on Tuesday to amend the share purchase agreement of the Karachi Electric Supply Corporation (KESC) to attract fresh investments to enable the utility to overcome power shortage.

A meeting of the ECC presided over by Prime Minister Yousuf Raza Gilani also approved a subsidy of Rs27 billion for DAP fertiliser. However, the price-capping facility will be there till December 31 during the wheat sowing season.

Taking serious note of the unsatisfactory performance of the KESC and the need for improvement, the prime minister approved a summary of the Ministry of Water and Power for facilitating investment in the KESC by Abraaj Investment Management Limited. It will allow revision of the implementation agreement and help resolve the issue of outstanding payments.

Mr Gilani constituted a committee to look into the intricacies of load management programme for industrial and domestic and commercial sectors for winter.

The committee to be headed by the special assistant to the prime minister on finance and economic affairs will include secretaries of the ministries of industries, petroleum, water and power and commerce. It will submit its report in a week.

The ECC approved a proposal for providing government guarantee on the syndicated term financing facility of Rs15 billion. The purpose of the facility is to pay off long outstanding liabilities of Kapco, Hubco and PSO.

The prime minister also constituted a committee to examine the issue of over-invoicing in order to reduce the chances of capital flight.

The committee to be headed by the special assistant to the prime minister on finance and economic affairs will include chairmen of the FBR and TDAP, finance secretary and a representative from the State Bank.

The ECC also approved a framework proposal for setting up special economic zones across the country.

Ports and Shipping Minister Naveed Qamar briefed the meeting on wheat procurement efforts and said that wheat shipments were being delayed because of congestion at ports.