AEDB has been formally dissolved and an AEDB PPIB merger has occurred. In the first quarter of 2017, the former Ministry of Water and Power began the legal procedure to merge Alternative Energy Development Board (AEDB) with the Private Power and Infrastructure Board (PPIB). A measure to unite them was introduced in the Senate in 2021. The Alternative Energy Development Board (AEDB) and Private Power and Infrastructure Board (PPIB) officially merged on June 10, 2023. It was introduced by the publication of the Private Power and Infrastructure Board (Amendment) Act, 2023, which was announced through the Gazette of Pakistan, Extraordinary, Part-1.
Role of AEDB
AEDB was created in 2003 and was given legal cover through the enactment of the Alternative Energy Development Board Act, 2010 (Act XIV of 2010) in 2010. It was established to promote the development and generation of renewable and alternative energy. Its main objective was to achieve sustainable economic growth. Additionally, it also aimed to achieve transfer of technology for the building of an indigenous technical base through diverse energy generation. For more clarity you can click here
Role of PPIB
Through an executive order, the PPIB was founded in 1994. It is playing a vital role as a “one-window facilitator” for private sector investments. Its projects are operating in the power industry, notably those involving hydropower, thermal, coal, and gas-based facilities. Furthermore, a parliamentary act from 2012 gave it legal protection. The Alternative and Renewable Energy (ARE) project’s development fell under PPIB’s purview. There were short-, medium-, and long-term goals set forth in the policy for power generation projects of 2002.
AEDB PPIB merger Objective
The AEDB was largely given the same administrative responsibilities as the PPIB. Whereas the development of Alternative and Renewable Energy (ARE) projects were restricted from its mandate. The purpose of restriction from ARE projects was to avoid duplication of tasks. Along with this the AEDB’s establishment as a separate administrative unit went against the idea of a “one-window operation”. And investors had to deal with two distinct organizations with comparable goals and responsibilities. Both the entities had same mandate and scope of work. That’s why, need felt to merge AEDB with PPIB which has been in existence since 1994. As a result, AEDB PPIB merger took place to reduce overlap and duplication of duties between the two state-owned organizations. For more details click here
Benefits of AEDB PPIB merger
It will aid in the development of the necessary skill set and capacity to serve as a one-window facility for all energy-related sectors. The merging of the AEDB and PPIB will enable a seamless and orderly development. Additionally, processing power projects utilizing all available technologies, including Alternative and Renewable Energy Projects (ARE), will benefit from it. By expanding a “one-window operation” and “ease of doing business,” it will also guarantee operational efficiency and assist investors.
Dissolution of AEDB Act, 2010
- The alternate energy fund established under section 13 of the Alternative Energy Development Board Act, 2010 shall stand transferred and vest in the private power and Infrastructure Development Board Fund established under section 14.
- All assets, rights, powers, authorities and privileges shall transfer to PPIB.
- All property, cash and bank balances, reserve funds, investment and all other interests and rights in or arising out of such property and all debts, liabilities and obligations of dissolved Alternative Energy Development Board shall stand transferred to PPIB.
- All officers, consultants, advisers, auditors and other employees and staff of the dissolved Alternative Energy Development Board shall stand transferred to PPIB.
- Upon such transfer the allowance of all officers, other employees and staff of the dissolved Alternative Energy Development Board shall not be varied to their disadvantage as they were entitled to receive in accordance with the dissolved Alternative Energy Development Board Act, 2010.
- The persons so transferred shall be deemed to have been appointed or engaged by the PPIB in such grades.
- The persons so transferred shall not be entitled to additional compensation only because of such continuance or transfer.
- Any civil servants appointed to or working in the dissolved Alternative Energy Development Board shall upon their transfer to the PPIB continue to be governed by the Civil Servants Act, 1973 and rules made thereunder.
- After the commencement of the Private Power and Infrastructure Board (Amendment) Act,2021, the Board shall announce a voluntary separation allowance under a voluntary separation scheme.
- Within a period of three months after such notification and payment of such voluntary separation allowance is made to such officers, other employees and staff their employment shall stand terminated with immediate effect.
- All debts and obligations incurred or contracts entered into, guarantees issued, rights acquired and all matters and things engaged to be done by, with or for the dissolved Alternative Energy Development Board shall be deemed to have been incurred, entered into, acquired or engaged to be done by, with or for the PPIB.
- All suits, arbitrations and other legal, proceedings instituted by or against the dissolved Alternative Energy Development Board before its dissolution shall be deemed to be suits, arbitrations and proceedings by or against the PPIB and shall be proceeded or otherwise dealt with accordingly.
- Any reference to the Alternative Energy Development Board so dissolved in any statutory instrument, policy or other document or instrument shall, unless the context otherwise requires, be read and construed as reference to be PPIB
- Notwithstanding anything contained to the contrary in the Private Power and Infrastructure Board (Amendment) Act, 2021, the terms and conditions of the existing PPIB officers, other employees and staff shall not be varied to their disadvantage due to appointment and engagement of such transferred officers, employees and staff.
- All rules, regulations, policies, notifications, orders, tax exemptions or instructions in force pertaining to or in any way concerned with or affecting the dissolved Alternative Energy Development Board immediately before commencement of the Private Power Infrastructure Board (Amendment) Act, 2021, shall continue to be in force until repealed, altered or rescinded by rules or regulations made under this Act.