ISLAMABAD: In order to improve the performance of power distribution companies (DISCOs), Power Division, instead of filling these positions with internal officers of the DISCOs, has issued guidelines for the recruitment of market-based advisors/professionals on key senior slots of DISCOs.
According to sources, the Power Division is pushing for a comprehensive reform of departmental heads and C-level positions within Distribution Companies (DISCOs). They said the division (power) has suggested that Board of Directors (BoDs) of DISCOs may consider creation or re-designation of the six new C-level positions in addition to the positions of Companies Secretaries, Chief Financial Officer. And, it (power division) has issued guidelines for the recruitment of professionals in DISCOs and asked the chairman Board of Directors (BoDs) and Chief Executive Officers (CEOs) of DISCOs to ensure filling few senior positions with market/experts/professionals.
By encouraging experienced individuals to contribute, the Power Division anticipates a positive impact on the overall performance and responsiveness of DISCOs, ultimately contributing to the enhancement of the power distribution sector, said sources.
The overarching goal is to instigate a positive cultural transformation that will ultimately enhance the overall performance and efficiency of these distribution entities, said sources.
Power Division, in a letter dated 10th January 2024 titled ‘Appointment of market-based advisors for strengthening human resource of distribution companies (DISCOs)’ to all chairman BoDs of DISCOs and CEOs of DISCOs said that DISCOs have multiple C-level positions which are mainly filled by the officers from within the company. Positions of Chief Financial Officer (VFO), Company Secretary (CS) and Chief Internal Auditor (CIA) are required to be filled as per Public Sector Companies (Corporate Governance) Rules, 2013 by the concerned Boards through market-based recruitments. Similarly, companies are required to fill the positions of CEOs through a competitive process as per relevant law.
Power Division feels that the entire structure of departmental heads or C-level positions within DISCOs and the modus operandi to fill these posts are required to be reformed by opening a window for professionals to help reform these DISCOs through a cultural shift with the aim to improve performance of these DISCOs, said power division’s letter.
Based on consultations, it is suggested that Boards of respective DISCOs may consider creation or re-designation of the following new C-level positions in addition to the positions of company Secretary, Chief Financial Officer.
- Â Chief Human Resource and Career Planning Officer
- Â Chief Legal Officer
- Â Chief Commercial Advisor
- Â Chief Technical/ Engineering Advisor
- Â Chief Information Technology Officer
- Â Chief Supply Chain Management Officer
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It is relevant to note that in order to facilitate Boards (BoDs of DISCOs), power division has developed a policy and eligibility criteria along with job description for each post. However, power division has suggested that Boards may debate and finalize the same as they may deem it appropriate. Further, the power division advised that the Boards may draft a policy for such appointments. Â
 The sources further informed that power division in order to eliminate theft in DISCOs had earlier suggested that monitoring units should be established in DISCOs. But Finance Ministry vehemently opposed the proposal, and suggested running the DISCOs by experts/professionals, sources added.
It is also learnt from sources that under the IMF agreement, the management of 304 government companies is to be taken out by the line ministries and placed under the management of the Ministry of Finance.
