KPEZDMC, Chinese company engagement agreement

PESHAWAR: Khyber Pakhtunkhwa Economic Zones Development and Management Company (KPEZDMC) Thursday signed an engagement agreement with China Machinery Engineering Co (CMEC) to develop a Special Economic Zone including 225 MW Combined Cycle Gas Turbine (CCGT) Power Plant at Daraband, D.I Khan.

In this connection a memorandum of understanding between both the parties was signed here on March 30, 2017, and in a move forward the MoU was converted into an engagement agreement at CM House.

Similar, engagement agreements were signed with Chinese state owned companies to develop Special Economic Zones in Rashakai and Hattar along with 225 MW CCGT Power Plants in each special economic zone (SEZ).

CMEC, a Chinese state owned, multibillion dollar company is listed on the Hong Kong Stock Exchange. The core business of CMEC is engineering contracting, but as a large international conglomerate, it also extends into trade, investment and R&D.

It has expanded its business presence to 47 countries in Asia, Africa, Europe and South America, forming a project contracting system with electric power energy at the core and covering transportation, telecommunications, waterworks, building materials and cement, etc.

According to the agreement, CMEC will develop 1500 acres of land for a Special Economic Zone. The industries setting up in this zone will have 10 year income tax holiday and duty free import of plant and equipment. This zone will ensure multibillion investments coming into KP and create hundreds of thousands of jobs in the region.

The signing ceremony was attended by the Chief Minister Pervez Khattak, Secretary Industries, CEO KPEZDMC and senior representatives of CMEC.

Speaking on the occasion, the Chief Minister Pervez Khattak said that the agreement reflects the resolve of the government of KP for bringing industrialization to the province to create employment opportunities and usher prosperity in the region.

The CEO KPEZDMC Saeed Ahmad Khan CEO KPEZDMC said the company is moving in the right direction of bringing investment to the province. "We hand hold investors ensuring their success. This agreement is another milestone of KPEZDMC in industrialization of KP," Saeed Khan concluded.