K-Electric announced on Thursday a development aimed at alleviating the burden of expensive electricity for the citizens of Karachi.

In a strategic move towards sustainability and cost-efficiency, the power utility said it is set to integrate 640MW of renewable energy, primarily from solar and wind sources, into its power grid over the next two years.

This announcement was made by K-Electric Chief Executive Officer (CEO) Syed Moonis Abdullah Alvi, during a meeting with the delegation of the Council of Energy and Economic Journalists (CEEJ).

Alvi said a total of 12 companies from Europe, China, and the Middle East have expressed their interest and submitted bids to invest in solar and wind power projects in Karachi.

The renewable energy projects are scheduled to be established in strategic locations, including Hub, Othal, Bela, and Surjani Town of Karachi. An investment of $450 million has been allocated for these projects.

In addition to addressing the production cost of electricity, the integration of solar and wind power is expected to significantly reduce the environmental footprint of energy generation in Karachi.

Alvi also highlighted the progress made in minimising power outages in Karachi, attributing the reduction from 80% to 72% to improvements in infrastructure and the management of line losses. To expedite the resolution of outstanding dues, a 60-day timeline has been established.

Moreover, K-Electric has initiated the installation of smart meters in Karachi, with an initial deployment of 10,000 units as part of a pilot project.

Currently, the cost of a Smart Meter stands at Rs40,000 to Rs45,000. However, Alvi hinted at the possibility of price adjustments based on the scale of demand. The smart meters have been installed on all Power Metering Transformers (PMTs) in Karachi, enabling real-time data collection on electricity usage in different areas.