ISLAMABAD: National Electric Power Regulatory Authority (Nepra) has settled the show-cause notice issued to 1,320MW Sahiwal coal-fired power plant of Huaneng Shandong Ruyi Energy in connection with the nationwide power system breakdown that occurred more than two years ago.
The countrywide blackout took place on January 23, 2023, plunging the entire power system into darkness. Electricity supply was fully restored after nearly 20 hours on January 24, 2023. Taking serious notice of the incident, Nepra constituted an Inquiry Committee (IC) to investigate the causes of the breakdown and the role of power sector entities in system restoration.
As part of the inquiry, the committee visited power plants, grid stations, relevant sites, and offices, examined concerned officials, and reviewed documentary evidence. Information regarding restoration timelines and synchronization of power plants following the blackout was provided by the National Power Control Centre (NPCC).
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According to NPCC data, power supply at the licensee’s bus bar was restored at 22:21 hours on January 23, 2023. The Sahiwal power plant was subsequently instructed through a Notice to Synchronize (NTS) to synchronize Units 1 and 2 at 06:24 hours on January 24, 2023, in accordance with the Power Purchase Agreement (PPA).
However, the licensee synchronized Unit-1 at 07:35 hours and Unit-2 at 20:25 hours, reflecting delays of 1 hour 11 minutes and 14 hours 01 minute, respectively.
Nepra observed that the licensee was bound to comply with NPCC instructions and had prima facie failed to do so, thereby hampering system restoration.
The Authority noted violations of Section 14B(4) of the NEPRA Act, Rule 10(6) of the NEPRA Licensing (Generation) Rules, 2000, and provisions of the Grid Code, and decided to initiate legal proceedings under the NEPRA (Fine) Regulations, 2021.
An explanation was issued to the licensee on September 22, 2023 under Regulations 4(1) and 4(2).
The licensee submitted its reply on October 4, 2023, which was rejected by the Authority through an order dated September 13, 2024. Consequently, a show cause notice was issued on the same date under Regulations 4(8) and 4(9).
In its reply dated September 23, 2024, the licensee argued, among other points, that it was the first coal-fired power plant to reconnect to the grid after the blackout, despite black-start conditions. It stated that it took 1 hour and 11 minutes longer, whereas Saba Power and Rousch Power reportedly took 3 hours and 35 hours, respectively.
The company further contended that NPCC itself had requested Nepra to allow additional black-start time, confirming the company’s compliance with regulations.
The licensee also cited equipment damage caused by the blackout, including issues related to valves, oil tanks, condenser membranes, and the Distributed Control System (DCS). It maintained that despite these challenges, it made every possible effort to restore supply and argued that it should be compensated by NTDC, rather than being penalised by NEPRA.
Additionally, the company pointed out that CPPA-G had already imposed forced outage penalties, and further penalties would be unjust and unreasonable.
After considering the response, Nepra granted the licensee a personal hearing under Regulation 4(11), which was held on March 6, 2025, at Nepra Headquarters, Islamabad.
Following a detailed review of the submissions and arguments presented during the hearing, the Authority concluded that the licensee had provided a satisfactory explanation to the Show Cause Notice.
“In view of the above, the Authority has decided to accept the response submitted by the licensee and to close the matter in terms of Regulation 4(12) of the NEPRA (Fine) Regulations, 2021,” the decision stated.
Copyright Business Recorder, 2026
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