IGCEP 2022-31: NEPRA urged to allocate suitable number of new technologies

28 Oct, 2022

ISLAMABAD: The Alternative Energy Development Board (AEDB) has urged the National Electric Power Regulatory Authority (NEPRA) to allocate a suitable number of new technologies in the draft Indicative Generation Capacity Plan (IGCEP) 2022-31.

Offering comments on NEPRA’s letter on ten years IGCEP prepared by the National Transmission and Despatch Company (NTDC), AEDB says it has received several proposals from potential developers and provincial governments based on new technologies under the ARE Policy 2019, which provides for the proactive procurement of electricity through new technologies on the unsolicited mode.

However, such proposals could not be processed by AEDB without incorporation of the quantum in IGCEP, as Section 1.4.3 of the ARE Policy 2019 states that IGCEP outputs will form the basis of all on-grid capacity procurements.

According to Director Wind/ST, AEDB, Sheeraz Anwar Khan, in view of the provisions of the ARE Policy 2019 and considering the fact that various proposals on new technologies are pending approval of AEDB, NTDCL was requested to allocate a quantum of approx. 1000 MW in the IGCEP 2022 through new technologies. However, through the draft of the IGCEP 2022 submitted by NTDCL to NEPRA for approval, it has been noted that no quantum has been allocated for procurement of power through new technologies.

AEDB has requested NEPRA to allocate a suitable quantum in the IGCEP 2022 for procurement of power through new technologies, adding that a capacity of 1000 MW be initially considered for new technologies in the IGCEP 2022.

According to draft AIGCEP 2022-31, in the base case, the demand and installed capacity of the whole country is 41,338 MW and 69,372 MW, respectively by the year 2031. During the hearing which continued for four hours, different stakeholders, i.e.

KP government, Balochistan government, Punjab government, representatives of AJ&K, Ministry of Planning, AEDB, K-Electric and private sector offered their comments on projections of IGCEP and also their individual issues.

Provincial Governments including Balochistan raised objections on the plan. The Chairman NEPRA advised the representative of Balochistan Government to sensitize Balochistan politicians on this issue.

The draft plan submitted by NTDC to NEPRA, has been prepared only as an indicative development plan for the period commencing on FY 2022 to FY 2031 as it does not contain or determine targets or ascertain liabilities pertaining to power purchase or procurement, commissioning of future power projects, regulation or determination of electricity tariff, performance or ascertainment of economic dispatch etc. and is merely a suggested guide subject to finalization as per approval of the competent authority according to applicable law, policy and procedure.

The IGCEP 2022-31 includes an export of 1,100 MW from NTDC system to K-Electric up to June 2024, which further increased to 2,050 MW after commissioning of 500 kV KANUPP Karachi Interconnection (KKI) grid station by K-Electric. Two power projects will also be retired during this period.

Copyright Business Recorder, 2022

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