ISLAMABAD: A Senate body on Friday called for a review of the privatisation policy making the process transparent and creating a competitive environment to generate more revenue from transactions.

The committee, which met here with Senator Adnan Khan in the chair, sought details of the terms and conditions applied to the privatisation of major public sector entities, including Habib Bank Limited (HBL), KESC and PTCL.It directed the Privatisation Commission to provide a detailed schedule so that it could examine whether the contractual agreements were implemented in letter and spirit or not.

They voiced concern over the performance of the KESC, which has not increased generation capacity and also failed to streamline its distribution network, some senators observed.

Earlier, Secretary Privatisation Commission Shahab Khawaja briefed the committee on the country’s privatisation policy. He informed the committee that the banking industry had been privatised substantially and now 80 per cent of the banking sector is under private ownership.

He said privatisation will be conducted in a public private partnership (PPP) mode and a mechanism would be framed for such a partnership after consultative process. He said that 23 major entities were now on the active list of privatisation programme.

The commission will divest residual shareholding of the government in the privatised entity at an appropriate time ensuring that such divestment will not unreasonably affect the strategic partner.

He said privatisation will be conducted in the PPP mode for 26 per cent of the equity stake.

The manner, methodology and mechanism of PPP structure will be framed after consultative process and due approval of the CCoP and A stringent pre-qualification structure will be put in place that will include a contractually binding business plan and provisions with regard to management, default, termination, penalties and dispute resolution.