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Sindh Chief Minister chairs Sindh Energy Board meeting

Karachi, October 11, 2015 (PPI-OT): Sindh Chief Minister Syed Qaim Ali Shah has directed the Thar Coal and Energy Board to take necessary emergent to remove bottlenecks from the power projects launched in Thar. “We have to produce power from Thar coal. This was the dream of Shaheed Benazir Bhutto and I am committed to make it true.”

This he said while presiding over 19th Thar Coal and Energy Board meeting here at the CM House. The meeting was attended by Senior Minister for Finance and Energy Syed Murad Ali Shah, MNA Shazia Marri, Chief Secretary Siddique Memon, MPA Rubina Qaim Khani, Principal Secretary to CM Alamuddin Bullo, Secretary Energy Agha Wasif, Managing Directot Aijaz Ahmed Khan and others.

Giving presentation to the chief minister MD Aijaz Ahmed said that Sino-Sindh Global Mining has been allocated Block-1 in Thar coal filed where they have launched an open-pit coal mining of 6.5 tons per annum project for $0.85 million and would also install four power plants each one of 330 MW for $1.1 billion.

They have already completed bankable feasibility in March 212. They have signed MOU with Shanghai Electric Power for supply of coal supply coals and now agreement has been placed for the purpose. Their financial close would be completed by October 215. He said that Block-II has been given to Sindh Engro Coal Mining Company (SECMC) in which Sindh government owns 51 percent shares has signed coal supply agreement with Engro Power Thar Ltd.

Their coal tariff has also been approved by the board. They have also signed local financing of Rs5 billion. The company has started removing overburden for open-pit coal mining. Their financial close is expected is by the end of this month. The chief minister directed the chief secretary to personally monitor the issues of land acquiring, if any and payments must be made in time.

The3 MD briefing about Block-V where Dr Samar Mubarak Mand has launched Under Ground Coal Gasification Project and Power Plant , said that they have drilled 38 bore holes and conducted test burn in December 2011 and are producing Syngas. They have also procured purification plant and a 8-10 MW power plant is being installed.

Chief Minister Syed Qaim Ali Shah directed Senior Minister for Finance Syed Murad Ali Shah to invited Dr Mand to brief the board on the technical aspect of his project. Mr Aijaz further said that Block-VI has been given to a UK based Oracle Coal-fields (PLC) and they have completed feasibility and have plan to start mine development by the end of this year. They have signed an agreement with KESC for supply of 300 MW and with SEPCO China for supply of their another 30 MW power plant. Their financial close is expected by the end of this month.

Talking about Block IV, he said that Harbin Electric Company, China has been selected through international competitive bid (ICB). They have planned 6.5 mtpa mining and 2 powers projects of 1200 MW, each one of 600 MW. The board has given them exploration licence for feasibility study for one year on March 27, 2015.

Similarly Block-III A and B has been given to Asia Power Group Ltd through ICB. They have also planned to 6.5 mtpa mining and to install 1110 MW mine-mouth power plants. Mr Shamsuddin Shaikh , CEO SECMC said that they have set up an initial open cast mine of 3.8 mtpa and to establish two 660 MW power plants, each one of 330 MW with the about 42 months at a cost of $845 million.

Replying to a question of the chief minister he said that resettlement plan of villages, Senhri Dars has been completed. On this the chief minister said that he wants to ensure resettlement of all the people in their new house before the power plant is commission. “The model village must have all the facilities, including school, water supply, prayer place(s), hospital and such other facilities in such a way that they could lead their life according to their cultural values,” he emphasized.

He said that there were some issues of land acquisition. On this the chief minister directed the chief secretary to post necessary staff of survey and settlement in Thar so that the issues arising in this context could be settled then and there.

The chief minister also directed the chief secretary to personally talk to the IG Sindh to provide security to the SECMC. “The prime minister had also assured that a separate force would be raised to provide security to Chinese engineers to start work on Pak-China Economic Corridor. Therefore, the federal government may also be contacted for the purpose,” he said.

The CEO of National Transmission and Disptach Company (NTDC) Ltd said that intersection schemes for dispersal of power from 660 MW Engro at Thar and 1320 MW Port Qasim Coal Power plant has been launched. He said that tenders for construction of 50 KV T/L fr4om Engro Power Plant at Thar to Matiari of about 250 km has been started for Rs2.23 billion. This project would be completed by the end of 2017. “This would be the same year when Engro would start power generation.

Work on another 190 km intersection of 500 kv from Port Qasim to Matiari is also in progress for Rs1.29 billion. In response to the tenders floated bids have been received which are under evaluation, said the CEO. The chief minister said that his government was committed to steer the people of Sindh out of the energy crisis.

“I want to provide affordable electricity to the people of this country in general and to the Sindh in particular. Sindh would turn prosperous if the power production is started in Thar. This would solve our energy problem and generate employment opportunities,” he said and urged the chief secretary to remove all the bottlenecks from the projects to make the dream of Shaheed Benazir Bhutto materialized.

For more information, contact:
Mr. Allah Bachayo Memon
Press Secretary
Chief Minister House
Tel: +92-21-99202019
Cell: +92-300-3524057 (Ext: 336)

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