KARACHI: Sindh energy department has recommended the federal power ministry to design and run the forthcoming 660 Megawatts Jamshoro Power Company Ltd (JPCL) plant-II on a 100 percent indigenous Thar Coal.
In a letter available with Business Recorder, the Sindh Energy Minister Imtiaz Ahmed Shaikh has urged the Federal Minister for Power Umar Ayub Khan to consider the proposal in the larger interest of the country.
He said that Generation of 660 Megawatts of power in JPCL plant-II through Thar Coal would not only save $125 million per annum in forex but it would also provide $17.11 million saving in low cost electricity produced from Thar Coal.
Shaikh termed that Generation of power through Thar Coal would be low cost, more convenient, feasible and in best national interest.
Shaikh informed that for the conversion of JPCL plant-II on Thar Coal Sindh Government and Sindh Engro Coal Mining Company have also been in contact with power division.
In his letter Imtiaz Ahmed Sheikh suggested that the services of Pakistan railways would be taken for the transportation of Thar Coal. In this regard he suggested further that laying of railway track from Islamkot to new Chorr would be included in China-Pakistan Economic Corridor (CPEC) project.
Sindh Engro Coal Mining Company - a joint venture (JV) of Sindh Government and Engro Corporation, in pursuance of the Council of Common Interest (CCI) decision, has signed a Memorandum of Understanding (MoU) with JPCL whereby JPCL has agreed to utilise at least 20 percent of Thar Coal in its 2x660 MW power plant being funded by ADB.
Later on, Shahzad Qasim Syed the Special Assistant to Prime Minister (SAPM) took the initiative to convert both units of JPCL on 100 percent Thar Coal (each unit is of 660 MW). Though, the proposal could not be materialised as the construction of 1st unit was already started, it said.
However, it was then recommended that the 2nd unit could be considered utilising 100 percent Thar coal for power generation.
The letter said, "It is high time to have a decision in right direction before finalisation of design & EPC for 2nd unit."
As far as dispatch of coal in bulk quantity is concerned, Railways Transportation Company (PRFTC) has recently completed BFS for dispatch of coal from Thar coalfield to up country through new and existing railways network of PR. The railway connectivity is expected to be functional by 2023; which would be in line with the Commercial Operations of SECMC Phase III and JPCL 2nd unit.
In light of above it is requested to personally look into the matter and consider the recommendations i.e. 2nd unit (660 MW) of JPCL be designed 100 percent on Thar coal specification. Power generation on imported fuel be discouraged or dropped out, existing power generation based on imported coal be discouraged and may be incentivized if utilise considerable portion of Thar coal.
Copyright Business Recorder, 2020