600 megawatts coal-fired plant to be set up: K-E plans to invest $2 billion in power sector, Dar informed

K-Electric plans to invest $2 billion in the power sector during the next three years. The plan includes construction of 600MW coal-fired power plant in Gaddani. The plan was shared by the K-Electric management with Finance Minister Ishaq Dar on Tuesday. A four-members delegation led by its chairman Tabish Gohar held a meeting with Ishaq Dar to inform him about the details of the plan and sought his help in resolving some issues with National Electric Power Regulatory Authority (Nepra).
The Finance Minister was informed that the company has earmarked $1 billion for construction of a new 660 MW coal-fired power plant with the commissioning of the project expected in 2018. Another $400 million investment would be made for conversion of 400 MW existing furnace oil capacity into coal-fired plants. This plan is expected to be completed by June 2017. The company intends to convert two existing fully operational open cycle plants (220 MW and 180 MW GE JB) to combined cycle at a cost of $100 million besides distribution plan of $270 million in the first phase for 1,000 MVA transmission enhancement and rehabilitation project.
Senior officials of the company maintained that after years of losses, K-E had earned profits and had plans for distribution of dividend of up to 15 percent to minority shareholders, which is the first dividend to K-E shareholders after 20 years. The K-Electric sought the minister's attention for resolution of various issues with Nepra.
Finance Minister Ishaq Dar welcoming the K-E's initiative in power generation, transmission and distribution sector, stated that in view of the energy shortage, such initiatives were much required. He assured the delegation of all possible support towards resolving various issues faced by the company. Finance Secretary Dr Waqar Masood, Advisor Finance Division, Rana Assad Amin, Additional Secretary, Azra Mujtaba, Additional Secretary, Tariq Pasha, Additional Secretary (EF) Shahid Mehmood and other senior officials attended the meeting.