ISLAMABAD : The federal government has constituted the Board of the Independent System and Market Operator (ISMO), and also filled several vacant positions at Power Distribution Companies (Discos) and Generation Company (Genco) to ensure smooth operations across the sector.
According to a notification issued by the Power Division, Ms Ermeena Asad Malik has been appointed Chairperson and Independent Director of the ISMO Board. Dr Salman Rafique Chaudhry and Dr Fiaz Ahmad Chaudhry will also serve as Independent Directors.
Other ex-officio directors on the ISMO Board include the Secretary Power, Dr Fakhray Alam Irfan; a representative of the Finance Division (Additional Secretary or Joint Secretary); the Chief Executive Officer of a Disco; and the Managing Director of the National Grid Company (NGC). The Chief Executive Officer of ISMO will serve as Executive Director.
Last week, the National Electric Power Regulatory Authority (NEPRA) endorsed the establishment of ISMO, proposing to merge the Central Power Purchasing Agency (CPPA-G) and the National Power Control Centre (NPCC) into a single entity, subject to resolving certain operational issues to ensure independent and efficient functioning.
NEPRA noted that the merger of these two functionally independent entities would be a significant milestone toward launching a competitive wholesale electricity market in Pakistan. The Authority recommended several considerations for the effective restructuring of the System Operator (SO) and the Market Operator (MO), highlighting that under the Regulation of Generation, Transmission and Distribution of Electric Power Act, 1997, the SO and MO currently hold separate licenses and operate under distinct regulatory codes granted on May 31, 2022, and March 21, 2023, respectively.
NEPRA emphasized that ensuring the independence of the ISMO Board is critical, comparable to global best practices, so that ISMO can function as a credible and autonomous institution. This independence is deemed essential to foster confidence and trust among market participants and to achieve the objectives of the Competitive Trading Bilateral Contract Market (CTBCM).
Furthermore, NEPRA advised that the SO’s technical functions and the MO’s commercial functions should be ring-fenced to avoid conflicts of interest. While these functions may complement each other, maintaining their operational independence and performance is crucial, aligning the ISMO’s organizational structure with established global models.
Separately, several key appointments have been made in state-owned power companies:
Quetta Electric Supply Company (QESCO): Col (R) Abdul Karim Jaffari has been appointed Chairman/Independent Director of the Board, following approval by the Federal Cabinet under the State-Owned Enterprises (Governance and Operations) Act, 2023, and the State-Owned Enterprises (Ownership and Management) Policy, 2023.
Gujranwala Electric Power Company (GEPCO): Mujahid Pervez Chattha has been appointed as Chairman/Independent Director of the Board.
Power Information Technology Company (PITC): Mr Anas Wahab has been appointed as an Independent Director.
Multan Electric Power Company (MEPCO): Mr Amir Naseem Shaikh has been appointed as an Independent Director.
Genco Holding Company (GHCL): Mr Shahid Mahmood and Mr Pirzada Rahat Masood Quddusi have been appointed as Independent Directors.
