Pakistan, Sept. 21 -- A major step has been taken towards transforming Pakistan's power sector from a single-buyer model to a competitive electricity market, with the Power Division issuing a Request for Proposals (RFP) for the country's first-ever electricity wheeling auction.

Under the Competitive Trading Bilateral Contract Market (CTBCM) mechanism, businesses and industrial consumers will be able to purchase electricity directly from power producers on a competitive basis, said a press release.

The Power Division has invited proposals from interested entities for the auction, under which 800 megawatts of electricity are planned to be auctioned over the next five years. In the first phase, 400 MW of electricity will be offered for com...