ISLAMABAD: The Cabinet Committee on Energy (CCoE) which is scheduled to meet on Thursday (Jan 14) will discuss the principles of Competitive Trading Bilateral Contract Market (CTBCM) in the country.
The ECC of the Cabinet in its decision on April 30, 2015 mandated Central Power Purchasing Agency (Guarantee) Limited (CPPA-G) to prepare a comprehensive ‘CTBCM’ design and plan for transition of the power market. Consequently, CPPA-G in consultation with the stakeholders prepared the detailed design of the ‘CTBCM’ Model and implementation plan which was approved by Nepra on November 12, 2020
The ‘CTBCM’ Model was also discussed at a meeting of the CCoE on April 20, 2020. During the meeting, SAPM on Petroleum raised certain queries. Consequently, CCoE constituted a committee led by Minister for Power Division to review the model in light of the queries. Several meetings were held to achieve consensus on the design.
Further, comments from Chairman IPPs Committee Muhammad Ali were also discussed in several meetings by Minister for Energy, SAPM on Petroleum, SAPM on Power, Secretary Power Division and Chairman Nepra.
The detailed design and plan of ‘CTBCM’ provides a complete framework and also entails interventions to achieve the objectives of competitive wholesale market.
Nepra however, has approved an implementation plan with a timeframe of 18 months. Considering the requirement of fast track implementation, CPPA (G) in consultation with stakeholders, plans to achieve Commercial Operation Date (COD) by Feb 2022 with expected completion timeline of 15 months. This includes three months reserved as float or cushion to cater for any possible delays.
The CCoE will also consider a proposal of Ministry of Maritime Affairs, regarding allocation of existing capacity in gas pipeline to the two upcoming new LNG terminals at Port Qasim.
In addition, status on supply chain of RLNG in the country will also come under consideration by the committee to be presided over by Minister for Planning, Development and Special Initiatives, Asad Umar.
Copyright Business Recorder, 2021