Cabinet body gives nod to close Sarmaya-e-Pakistan

The Cabinet Committee on State-Owned Enterprises (CCoSOEs) on Thursday reviewed and approved a summary from the Finance Division concerning the winding up of Sarmaya-e-Pakistan Limited in light of its redundancy following recent developments in the governance framework for state-owned enterprises. The cabinet body met at the Finance Division under the chairmanship of Minister for Finance Muhammad Aurangzeb. The committee considered and green-lighted a summary from the Petroleum Division for reconstituting the board of directors of Pakistan LNG Limited. The proposal, based on recommendations of the board nomination committee and approved by the prime minister, was endorsed in accordance with provisions of the SOEs Act, 2023. Another summary from the Petroleum Division regarding the appointment of independent directors on the board of Pakistan Petroleum Limited (PPL) was also taken up. The committee noted that provisions of the SOEs Act, 2023 were not applicable in that case and directed that the matter be referred directly to the cabinet for consideration. The CCoSOEs approved a summary from the Power Division about the reconstitution of boards of directors of Hyderabad Electric Supply Company (Hesco) and Sukkur Electric Power Company (Sepco), following clearance of credentials and approval of the panel by the PM. Additionally, the committee considered and approved a summary submitted by the Railways Division for the appointment of four independent and three ex-officio members on the board of directors of the Special Purpose Vehicle (SPV) for the Thar Coal Rail Connectivity Project, being executed jointly with the government of Sindh. Responding to a summary prepared by the Petroleum Division seeking exemption from the applicability of International Financial Reporting Standards (IFRS-14 and IFRS-9) to Sui Northern Gas Pipelines Limited, Sui Southern Gas Company and certain other energy-sector SOEs, the committee, after detailed deliberations, gave directives that the matter be further examined by a body comprising officials from the Law Division, SECP, Petroleum Division and Privatisation Division, and later be resubmitted for consideration.