Coal-based electricity: 660 megawatts may be added to national grid by 2018

20 Jan, 2015

Chief Executive Officer (CEO) of Sindh Engro Coal Mining Company (SECMC) Shamsuddin Ahmad Shaikh said here on Monday that the company will be able to supply 660MW coal-based electricity to national grid by the first quarter of 2018 if the project's financial closure was made in April 2015. He was briefing a group of newsmen during their two-day visit to the Thar coal field.
Divulging into details of the project, he said that the SECMC being a joint venture of Sindh government was working to set up two power plants of 330MW each to generate electricity from coal in first phase of the project. He said that the field's Block-II land, measuring 5,925 acres, has been allotted to SECMC. It required some $2 billion and of the total, $0.9 million will be spent for mining purpose, while $1.1 will be required for setting up coal-based power plants.
This project is the part of Pak-China Economic Corridor for which a bank will arrange a fund of Rs 60 billion, while the remaining money will be provided by China. "We are targeting financial closure of the project by April 2015, he added. "Keeping in view that Thaparkar ranks lowest in Sindh's socio-development index, we have decided to spend 10pc of the project cost on relocation and purchasing, while 2pc (before tax) would be spent under the head of corporate social responsibility.
Stakeholders/ shareholders have, so far, injected Rs 3.8 billion of equity in the project, he said, adding that the project of such a scale needed government support in providing infrastructure. At the outset, Shaikh said he was grateful to both the federal and Sindh governments for their support and keen interest in the project.
He said that work has begun on three out of six segments for the rehabilitation of road from Thatta to Islamkot, while the PC-1 for 500 KVA HVDC 250 km transmission line has been approved and the NTDC has assured timely availability of transmission lines. He said that Sindh government has also agreed to provide funds for the transmission lines. He said that SECMC would provide maximum jobs to the people of Thar, besides ensuring proper water supply, health and education facilities.

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