Govt moves to establish new ‘umbrella’ privatisation entity

• Proposed legislation aims to merge Public-Private Partnership Authority and Privatisation Commission • Seeks to provide immunity to incumbent, former chairmen, secretaries and other officials ISLAMABAD: The government has introduced a bill in the National Assembly, for the establishment of a Privatisation and Public-Private Part­nership Commission (PPPPC), by merging the existing Public-Private Partnership Authority (P3A) and Privatisation Commission, to prevent duplication of institutional functions and processes.

The proposed law that seeks amendments to both legal instruments — the Privatisation Commission Ordinance 2000 and Public Private Partnership Authority Act 2017 — also provides legal and investigation immunity to the current and all former chairmen, secretaries, board members, officials and consultants from any act of omission or commission in good faith and in personal capacity and commits public funds to contest any such cases. The all-powerful commission will be led by the incumbent chairman Muhammad Ali and will comprise a majority of members from the private sector, including two women directors. It will collectively administer four public funds — privatisation fund, public contributory fund, viability gap fund and PPP project development funds — created through allocation in the federal budget, receipts from international lenders, income from investments or any other source. The government claims that the PC Ordinance dealt with privatisation of SOEs under the government policy while P3A Act governed a separate body. Both frameworks were concerned with mobilising private sector capital and expertise in relation to public assets, infrastructure and services and their administration through two separate institutions entailed duplication of…