Wapda may buy 25 percent more power from IPPs

14 Sep, 2004

Due to water shortage, Wapda may increase purchase of thermal power by 25 percent to ensure smooth power supply. Sources told Business Recorder here on Monday that Wapda's dependence on thermal power would increase, as the country may face hydropower shortage in winter. Wapda paid around Rs 125 billion to independent power producers (IPPs) for purchase of power from them during last fiscal year.
Power minister was informed that thermal power was the only viable option for Wapda, in the present circumstances, to meet the electricity requirements, sources said.
According to sources, the slow work on hydroelectric power projects is intensifying the crisis and the government has instructed the relevant authorities to simplify the process of power generation projects approved.
Wapda is also planning to generate 2600 MW thermal power during next two to three years as the country may face an 'unprecedented' water shortage.
Water level is reported to be around 46 percent lower than the capacity of Tarbela and 37 percent lower in Mangla. The situation is an alarm bell for the government to meet the electricity requirements, sources said.
According to sources the government has decided to relax certain rules regarding thermal power generation.
Around 15 new projects are under the consideration of the concerned ministries and the latter have already approved seven projects for which the letters of intent (LOIs) have been issued under the terms and conditions of 2002 Power Policy.
The remaining eight projects, with capacity of 800 MW would shortly be approved.
According to some estimates, the country may face power shortage of around 7000 MW by 2011 if urgent steps are not taken to meet the situation.
Wapda has already informed the federal government that it would shortly reactivate its thermal units in Sukker, Quetta, Multan and Lahore.

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