ISLAMABAD: The Private Power and Infrastructure Board (PPIB) has announced achievement of Commercial Operation Date (COD) of the country’s largest Thar coal-based power project located at Thar Block-1.
Having the generation capacity of 1,320 MW, Shanghai project has been implemented under the China-Pakistan Economic Corridor (CPEC).
The project is developed by Thar Coal Block-1 Power Generation Co, a fully-owned subsidiary of Shanghai Electric. The project has attracted valuable foreign direct investment of $1.912 billion which is expected to generate 9 billion units of electricity per annum with anticipated savings of Rs. 250 billion/annum.
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According to the PPIB, successful commissioning of this project is another example of the PPIB’s effectiveness towards promoting Thar coal for power generation. With this latest addition, total production of electricity from four Thar coal-based power generation plants has reached to 2,970 MW while 330 MW by ThalNova project is also under testing and expected to achieve COD soon. The PPIB has already facilitated commissioning of three projects with a total capacity of 1,650 MW, including the 660 MW Engro, 660 MW Lucky, and 330 MW Hubco Thar power projects, all of which are at the top of NPCCs merit order list.
The government is expecting that commissioning of the project will result in significant savings of foreign reserves and reduce dependence on imported fuels and the basket price of electricity shall also be reduced significantly. Additionally, the Shanghai Project will bring prosperity to local & regional communities and improve lives of local Thari people by generating employment & business opportunities. The PPIB remains dedicated to promoting Thar coal and facilitating private sector investment to empower Pakistan for a brighter future.
Copyright Business Recorder, 2023