Abraaj confronts Pakistan power challenge

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Almost three months after taking charge of Karachi’s main electricity provider, Tabish Gauhar promises that Abraaj, the Dubai-based private equity company that manages the utility, will complete its promised investment of $360m by 2012.

It is a make-or-break commitment for the Karachi Electricity Supply Company if it is to extricate itself from years of losses. Last year the company, which is the monopoly supplier to the city’s 18m people, lost Rs1bn ($12m) every month.

Concerns have mounted over the future of Abraaj’s investments in KESC after Dubai’s financial woes posed questions over its ability to raise funds from investors and add $168m to the $193m already invested.