ISLAMABAD: K-Electric (KE) has shown an interest in signing agreement with the Government of Pakistan to purchase power from the 2nd unit of Jamshoro coal power plan (Genco-1). According to a letter of KE Chief Executive Officer (CEO) Syed Moonis Abdullah Alvi to Secretary Power Rashid Langrial, KE is currently in the process of finalizing its long-term business plan to cater for the ever-increasing demand in the KE system for which it requires additional power beyond its upcoming BOPS 3 plant and expected supply of 2050 MW from National Grid.
In order to meet this rising power need of the city of Karachi, KE plans to optimize its fuel mix through inducting a combination of renewable and base load plants based on indigenous resources like local coal, which it believes is necessary to ensure base load generation at relatively cheaper cost.
As a part of KE’s evaluation of the possible options for base load plants, the power utility is aware that the first phase of Jamshoro Coal Power Project (having capacity of 1 x 660 MW) is currently being developed by Jamshoro Power Company (GENCO-1) and is expected to achieve its commissioning by the end of this year. Further, the second phase of this project, which will only be utilizing indigenous coal, is also currently in the planning stages.
Considering the scenario, KE has expressed its strong interest in purchase of power from the 2nd Unit of Genco-1 and is also willing to oversee its further development, in case GoP wishes not to undertake any future development.
The project was conceived as a 2x660 MW complex, and early-stage development including EPC bidding process which has been previously conducted for both units.
“We are of the view that KE’ s involvement in the purchase of power from the 2nd Unit, currently marked as candidate in the IGCEP, can expedite and bring to fruition the envisioned plan of full 1320 MW capacity from this site while providing an economical base load solution to meet Karachi’s future demand,” said Alvi.
KE has sought time from secretary Power for a meeting on this matter to discuss and understand the possibilities and the way-forward as the power utility is actively looking to add on further base load beyond BQPs 3 and the 2050 MW from National Grid to meet its projected demand and is open to working with all the concerned stakeholders to procure adequate and low-cost power for its service area.
Copyright Business Recorder, 2022