Rs 10 billion released to PSO: government dedicates 150 mmcfd extra gas to power sector

07 May, 2013

The government has dedicated 150 mmcfd additional gas to power sector, and released Rs 10 billion to Pakistan State Oil (PSO) for purchase of furnace oil, it is learnt. Sources told Business Recorder on Monday that to ensure no loadshedding during the general elections the government released Rs 10 billion on Monday to Pakistan State Oil (PSO) for the supply of furnace oil to Independent Power Producers (IPPs).
The petroleum ministry has supplied additional gas to power houses by suspending gas supply to fertiliser plants, while the ministry of finance has also assured PSO that Rs 35 billion would be released within the next two weeks as short-term measures to reduce load shedding. The government is trying to add 2,700 megawatts through these measures, sources said and added that these measures would help reduce load shedding by three to three and a half hours. An official of the petroleum ministry said, "There is 4,000 tons capacity in the IPPs which requires Rs 10 billion monthly to generate 1,100 MW electricity and provision of 150 mmcfd gas to private power houses would add 800 MW. We are also trying to add some additional hydel power generation into the system following availability of water in a few days," he maintained.
The government had directed the Managing Directors (MDs) of Sui Northern Gas Pipelines Limited (SNGPL), Sui Southern Gas Company Limited (SSGC), Oil and Gas Development Company Limited (OGDCL) and Pakistan Petroleum Limited (PPL) to work out a detailed plan regarding additional gas supply to power sector to tackle serious load shedding issue during the general elections. The additional gas is being supplied to four private power houses - Orient, Halmore, Saif and Saphire. Each power plant would be provided with 38 mmcfd of gas. This gas could produce up to 800 megawatts of electricity.
The government is also supplying 429 mmcfd gas to captive power plants, which according to official sources, have 27 percent efficiency compared with 50 percent efficiency of IPPs. "A captive power plant produces only 3 megawatts of electricity with one mmcfd of gas as compared with efficient power plants which are producing between 5 to 6 megawatts of electricity with same volume of gas," the official added.
Currently, Sui Northern Gas Pipelines Limited is providing 850 mmcfd gas to power houses - 300 mmcfd to Captive Power Plants and 500 mmcfd to other power houses. Sui Southern Gas Company Limited (SSGC) is supplying around 200 mmcfd gas to power houses of which 135 mmcfd is being supplied to Karachi Electricity Supply Corporation (KESC), Habibullah Coastal Power Plant Balochistan is being supplied 24 mmcfd, Kotri Power Plant 14mmcfd and Jamshoro Power Plant 20 mmcfd. SSGC is supplying around 129 mmcfd gas to captive power plants of which 43 mmcfd is to textile industry based captive power plants and 86 mmcfd to captive power general power plants.

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