ISLAMABAD: The government has decided to shift the Public-Private Partnership Authority (P3A) from the Ministry of Planning and Development to the Ministry of Privatisation and strengthen the Cabinet Committee on Privatisation (CCoP) to attract greater private sector participation in infrastructure and development projects.

Prime Minister Shehbaz Sharif has constituted a committee, headed by Minister for Economic Affairs Ahad Cheema, to hold consultations with stakeholders and work out comprehensive reforms in P3A to ensure transparency, strong monitoring and efficient implementation of public-private partnership (PPP) projects.

At present, P3A’s portfolio includes projects worth more than Rs600 billion in the execution phase. Prominent projects include two major sections of the M-6 motorway being implemented through the private sector, besides the Kharian-Sialkot and Kharian-Rawalpindi motorways, the Capital Development Authority Hospital and a long list of projects in the pipeline. However, various ministries have been resisting relinquishing control of projects for implementation through private sector investment, while the Public Sector Development Programme continues to struggle to meet development needs.

Mr Cheema chaired a meeting on Friday to review and deliberate on key reforms proposed in the P3A law, aimed at improving governance, transparency, efficiency and implementation mechanisms for PPP projects in the country. He emphasised the government’s commitment to introducing constructive and forward-looking reforms to strengthen institutional performance and ensure greater transparency and accountability in PPP projects.

Authority currently handling over Rs600bn worth of projects

The meeting reviewed proposed amendments to the P3A law to improve the overall framework governing public-private partnerships in the country. Participants were informed that under the proposed reforms, the CCoP would be further strengthened, while P3A would focus more on project implementation and execution.

It was further discussed that, in line with the prime minister’s directions, P3A would be placed under the Privatisation Division instead of the Planning Division to ensure better coordination, institutional alignment and improved efficiency in handling PPP initiatives.

The proposed changes also include the development of a structured project pipeline and bidding mechanism aimed at improving project planning and boosting investor confidence. The new mechanism would also encourage the participation of business councils and chambers in developing project pipelines.

In addition, a dedicated Project Development Facility is proposed to support the preparation and execution of viable PPP projects.

Participants were informed that the reforms also aim to strengthen troubleshooting mechanisms, enhance monitoring systems and reinforce the advisory role relating to PPP projects for improved oversight and efficiency.

The proposed amendments further focus on streamlining access to land, electricity and other utility facilities required for PPP initiatives to facilitate smoother and faster project implementation. It was also agreed to develop a modern, transparent and investor-friendly PPP framework to support sustainable economic development and encourage greater private sector participation in national development projects.

The meeting was attended by Adviser to the Prime Minister on Privatisation Muhammad Ali, Privatisation Division Secretary Hammad Shamimi, Privatisation Commission Secretary Usman Akhtar Bajwa, Law and Justice Secretary Raja Naeem Akbar and senior P3A officials, who briefed participants on the proposed legal and structural amendments under consideration.

Published in Dawn, May 9th, 2026