Power Division mum as Dar holds “closed doors” meeting on Al-Jomaih issues in KE

ISLAMABAD – The Power Division has remained silent regarding a high-level and confidential meeting chaired by Deputy Prime Minister / Foreign Minister Senator Ishaq Dar, focused on unresolved matters related to Al-Jomaih’s stake in K-Electric. The meeting followed a strongly worded diplomatic message from Riyadh, conveyed through Pakistan’s Ambassador to Saudi Arabia.
According to well-informed sources, Senator Dar held a closed-door session to address the persistent issues facing Al-Jomaih, despite Prime Minister Shehbaz Sharif’s earlier assurances that the matters would be resolved.
The meeting coincided with a session of the K-Electric (KE) Board, where the company addressed its ongoing issues with the government and reappointed Syed Moonis Abdullah Alvi as CEO, effective from July 30, 2025.
Saudi authorities, reportedly frustrated by the delay, have conveyed to Islamabad that Federal Minister Musadik Malik would not be welcomed in the Kingdom until the issues are resolved. This firm diplomatic stance has triggered urgent efforts in Islamabad, with Senator Dar now leading the resolution process.
Key concerns of K-Electric and Al-Jomaih include: (i) tariff disputes across power generation, transmission, and distribution;(ii) write-off claims;(iii) shareholding disputes between Al-Jomaih and AsiaPak Investments (owned by Shehryar Chishti) ; and (iv) a long-pending Mediation Agreement with government departments, overseen by legal advisor Ashtar Ausaf
The Ministry of Foreign Affairs has informed relevant authorities that the ongoing delays have deeply disappointed Saudi officials. Prime Minister Sharif had assured resolution within a month during a meeting in October 2024—an assurance still unfulfilled.
In light of these concerns, Pakistan’s Ambassador in Riyadh met with Saudi Assistant Minister of Investment Ibrahim Al-Mubarak on June 24, 2025. The meeting followed a virtual dialogue held on June 16, 2025, aimed at addressing Al-Jomaih’s grievances.
Al-Mubarak stressed that further delays are damaging Pakistan’s investment credibility and could impact future Saudi commitments. He warned that unresolved issues could increase Pakistan’s investment risk profile, elevate insurance costs, and reduce projected returns. He added that Al-Jomaih holds significant influence in the Saudi investment community, and any negative experience could deter others from entering the Pakistani market.
He also mentioned that 34 B2B Memoranda of Understanding (MoUs) were signed in October 2024 between Saudi and Pakistani companies—several of which are now under reconsideration due to the ongoing dispute.
In response, Pakistan’s Ambassador reassured the Saudi side that internal consultations are underway and a follow-up meeting is expected by mid-July. He emphasized that Deputy Prime Minister Dar is personally leading the matter, citing the recent resolution of Makhdoom Logistics’ case as a sign of progress.
However, Saudi officials made it clear that a concrete resolution must precede Minister Musadik Malik’s planned visit to the Kingdom. While reaffirming Saudi Arabia’s interest in Pakistani sectors such as infrastructure, agriculture, energy, and mining, Al-Mubarak warned that persistent delays could derail future investments.
On Tuesday, Power Minister Sardar Awais Khan Leghari—who reportedly attended Dar’s meeting—declined to comment, stating only, “Really, I’m not aware,” when asked about the discussion.
When asked separately about K-Electric’s tariff dispute, Leghari noted that the Power Division has filed a review motion against the existing tariff determination of NEPRA. He clarified that the motion is independent of Senator Dar’s meeting.
“We will continue to suggest areas of improvement,” Leghari stated. “We are not exerting pressure on the Regulator. The Regulator must maintain independence in its decisions. Our goal is simply to present our data and submission for consideration.”
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