Abraaj in Karachi : Hard Challenge

By Sameer Shaharyar • Jun 20th, 2008 • Category: Politics • (3,949 views) • No Responses

The well-known, multi-billion dollar financial and capital investments Arab group who is taking over The Karachi Electric Supply Company (KESC) has started its due diligence process, and is almost set to step-in very hot and dark waters of electricity situation in this megapolis of Pakistan, where the power requirements, load-shedding and power theft is at it’s extreme.

In these times, when KESC has miserably failed despite of tall claims and there is no respite in sight for the Karachiites, it wouldn’t be a honeymoon job for this Arabic tycoon. Abraaj is the premier investment firm specialising in private equity investments in the Middle East, North Africa and South Asia (MENASA) region. They have been in the industry for quite a while and have got the muscle. They might have done some real crunching projects, but doing job in Karachi is a different ball game altogether.

Here the government departments simply don’t pay bill for years. Large business are also defaulters and muscle their way. Even the local Thugs from MQM show eyeballs to the power providers. “Kunda” system is rampant, and power threat is considered as a hobby and a “right.” The corrupt staff of the power authority also contributes its fair share.

Amidst such a precarious situation, one has to praise Abraaj for taking over from KESC. KESC has employed M/s Siemens Pakistan Engineering Limited as the operations and management (O&M) contractor for the operation and management of the company. Watching the plight of Siemens, and despite of that taking over from KESC shows the big heart of Abraaj. We wish them best of luck.