Power Sector Privatization In-house
Resident Advisor

General Background and Position Description

USAID Power Distribution Program (PDP) is providing assistance to the government owned Power Distribution Companies of Pakistan (DISCOs), with the aim to curtail losses, enhance revenues and have a well regulated power distribution system in Pakistan.  PDP’s assistance, in its current phase, is geared towards Multan Electric Power Company (MEPCO) and Peshawar Electric Power Company (PESCO) and will end in Septmber 2015.

As part of its 2013 National Power Policy, the GOP made clear its intent to privatize all state-owned DISCOs. A similar initiative in 2002 resulted in the successful sale of the Karachi Electric Supply Company Limited (presently called K-Electric). As part of the new government’s reform agenda, the GOP is re-launching an ambitious program. The Privatization Commission (PC) has been given the task to privatize state-owned DISCOs as a part of a larger effort by the government to divest itself of many state-owned assets. At the request of the PC, PDP plans to engage an experienced senior privatization expert to assist the PC with preparatory work on the selected DISCOs included in the GOP’s ‘first phase’ of state-owned entities.

In order speed the privatization process, a strategy must be developed that enhances the credibility of the GOP and increases investor confidence and lays the necessary groundwork work for major transactions. 

Relevant Experience:

The consultant at a minimum has:

1. Fifteen years of privatization, capital market and private sector participation experience
2. Advanced degree in business, finance, law and/or economics
3. Experience working with the public sectors policy and implementation agencies
4. Excellent written and oral communications skills
5. Knowledge of Pakistan’s privatization policy, legal, regulatory and institutional issues a plus.

Job Description:

In his/her role as a Resident Privatization Advisor, the consultant will be based at the Privatization Commission (PC) and will assist and advise the PC in the following areas:

1. Participate and provide recommendations related to the evaluation and selection of Financial Advisor and or Financial Advisory Services by the PC
2. Development and review of PC Financial Advisors’ task, activities and associated deliverables
3. Review and evaluate various reports, financial models, valuations, tender document and contractual documents that prepared by the Financial Advisors and provide advice for the consideration and approval of the PC and the PC Board of Directors
4. Organize and participate in various marketing activities, including international/marketing materials for other stakeholders
5. Draft various reports, briefing notes and summaries for the PC , PC Board of Directors and/or the PDP Policy Team Lead
6. Draft initial  press releases for the media and information/ marketing materials for other stakeholders

The Resident Privatization Consultant shall initially focus on the early transactions of the ‘First phase’ related state-owned power distribution and generation companies identified in the latest Privatization Strategy developed by the PC with; special focus on taking the residual share listings to the market by the end. The Consultant shall assist the PC in drafting the RFPs and selecting advisors for the strategic sale transactions of state-owned public sector generation and distribution companies.

Deliverables:

1. Assist in developing an implementation plan (road map) for short- and medium-term privatization programs as per the timelines set by the PC
2. Review the measures taken to launch the process of appointment of Financial Advisors / Lead Managers for the selected activities and transactions
3. Assist the PC in developing future RFPs and refining evaluation criteria
4. Review RFP templates for appointment of Financial Advisors/ Lead Managers
5. Provide in-house capacity building including contributing to the hiring of a team of consultant for PC.