KE’s renewable energy project: Balochistan urges Centre to accord approval

ISLAMABAD: The Government of Balochistan has requested for federal government’s support for the early approval of K-Electric’s 150 MW renewable energy projects planned for Balochistan, well-informed sources told Business Recorder.

According to the provincial government, five renewable energy projects have been approved by NEPRA in February and March 2024. K-Electric successfully completed the bidding process for these projects, which total 640 MW across Sindh and Balochistan.

These include the flagship 150 MW Winder and Bela solar projects, which have been ongoing since 2020. Simultaneously, these projects were included in the approved Indicative Generation Capacity Expansion Plan (IGCEP) 2022 by NEPRA on February 3, 2023, and KE’s Power Acquisition Programme (PAP), approved by NEPRA on May 17, 2024.

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The provincial government views the 150 MW Winder and Bela solar projects as crucial for Balochistan. They are expected to meet the province’s growing power demand and provide significant benefits, including job creation, industrial support, and agricultural development.

The provincial government has requested that the Power Division and NEPRA expedite the approval process, particularly concerning the bid/auction evaluation reports for the 150 MW Winder and Bela solar projects.

In a letter to the Chief Secretary of Balochistan, KE stated that the bidding process for the ongoing 640 MW renewable energy projects, which was conducted through open competitive bidding, has been successfully completed. The bid/auction evaluation reports have been submitted to Nepra for approval, which is still awaited.

According to KE, the Request for Proposal (RFP) for these projects was approved by Nepra in February and March 2024. Following this, KE completed the bidding process for five renewable energy projects, totaling 640 MW across Sindh and Balochistan, including the 150 MW Winder and Bela Solar projects. These projects are part of the approved Indicative Generation Capacity Expansion Plan (IGCEP) 2022 by Nepra, and KE’s Power Acquisition Program (PAP), which was approved by the Nepra Authority on May 17, 2024.

KE emphasizes that these projects are not only intended to meet the region’s power needs but are also to support industrial and agricultural development, while creating job opportunities. Additionally, these projects will be the first solar and wind projects in Pakistan to be procured under a competitive bidding process, with the received bids representing the lowest tariffs for renewable energy. This achievement marks a significant milestone in Pakistan’s energy sector, promoting a competitive energy market.

“This accomplishment demonstrates KE’s strategic commitment to ensuring energy affordability. These projects will result in energy savings of approximately Rs 13 billion per annum and foreign exchange savings of $87 million annually, as the need for imported fuels will be reduced accordingly,” sources quoted KE’s letter as stating.

KE has expressed appreciation for the support provided by the Government of Balochistan throughout the process, including the allocation of land for the 150 MW Winder and Bela solar projects. However, despite these benefits, the Nepra decision on these projects is still pending due to reasons such as optimization within the IGCEP 2024 iteration, which is currently under finalization.

“The timely approval by Nepra and inclusion of these projects in IGCEP is critical, given that the bidders have submitted time-bound quotations and bid bonds with only eight months’ validity. Any delay could jeopardize the projects’ anticipated Commercial Operation Dates (CODs),” KE explained in its letter.

In this context, KE has requested support from the provincial government and relevant authorities to advocate for the approval of these renewable energy projects by Nepra and the Power Division. The successful approval and implementation of these projects will benefit not only KE consumers but also the people of Balochistan and the nation as a whole.

Copyright Business Recorder, 2025