Pakistan launches competitive power market to ensure affordable electricity

ISLAMABAD: Pakistan has made a major leap forward in its power sector reforms by advancing towards the creation of a Competitive Trading Bilateral Contract Market (CTBCM).

This is an open power purchase and sale arrangement that had long been delayed by decades.

Through the program, an auction mechanism is being launched for 800 MW of wheeling demand, as a starting point for competitive bidding in the power sector.

Federal Minister for Energy Sardar Owais Leghari inaugurated a workshop on the competitive process framework, reiterating that CTBCM reforms are crucial for stabilizing electricity tariffs and providing cheap energy to consumers.

He noted that the export sector will be provided with access to low-cost, renewable sources of energy, while the large industrial consumers will directly benefit from a transparent market mechanism.

Emphasizing the government’s focus on customer well-being, the minister announced 2025–26 as the customer service year and referred to the introduction of a free power market as a historic move with the intent of safeguarding consumer interests and achieving long-term energy security