Two agreements signed to generate 1225 megawatts electricity

Atlas Honda, leading company in private sector on Tuesday signed two agreements with a major German firm MAN Diesel for 450 MW power generation in private sector as joint venture and to supply electrical equipment to Pakistan.
The agreements were signed at the Prime Minister House in the presence of Prime Minister Shaukat Aziz and Minister for Privatisation Zahid Hamid. The first agreement about production of 450 MW electricity in two phases of 225 MW each was signed by Dr Pachta Chairman Executive Board MAN Diesel and Saquib H. Shirazi CEO Atlas Honda. The second agreement regarding supply of equipment for 1000 MW, mostly generators, was signed by Dr Spindler, Member Executive Board MAN Diesel and Saquib H. Sherazi.
The Prime Minister Shaukat Aziz while talking the delegation of MAN Diesel and Atlas Honda before the signing agreements said that Pakistan has really transformed the economy in last eight years and proud to have good performance in all the fields.
Shaukat Aziz said the transformation in various sectors was possible through open, transparent and continuous policies adopted by the government in the last 8 years. He said the reforms in Pakistan are better than the whole region and the foreign direct investment of over dollar 6 billion is the proof of the success of these policies.
The Prime Minister said there has been tremendous progress in all the fields and the people are getting the results of the economic growth achieved by the government in these years. He said the rural sector showed more progress adding the consumption of various goods and increasing the demand in the electricity.
Shaukat Aziz said due to high demand for electricity, there is a great scope and opportunity for foreign investment in the power generation. He said besides giving due attention to improve electricity through hydal, the government has been also looking into other alternative resources like solar, biogas, wind etc. The prime minister said the government has also been attracting the foreign investors to invest in energy and power generation sector.
He said the economic policies of the government are based on liberalisation, privatisation and deregulation. The prime minister appreciating the investment of MAN Diesel in Pakistan in the power sector, said that besides the scope for investment in energy sector, there is wide scope for investment in infrastructure sector especially to improve road network. Later, Chairman Executive Board MAN Diesel giving details of the agreements said the investment was possible due to liberal and economic friendly policies of Pakistan.
Appreciating the economic policies of Pakistan, he said, his company, would invest more on other projects in future. Saquib H. Shirazi CEO Atlas Honda giving details about the agreements said under these agreements, the German firm will provide foreign investment of over one billion dollar.
He said the plant for generating 450 MW will be set up near Sheikhupura and it will be commissioned by March 2009. He said the first phase of 450 MW, will be completed at a cost of dollars 260 million with 60 percent share by Atlas Honda and 40 percent by MAN Diesel.
About the other agreement, he said, MAN Diesel would provide high quality electric equipment for 1000 MW to Pakistan. He said with the availability of this equipment, Pakistan will be included in some of the countries to have such high class and world class equipment.