Although the government has paid a lot to power producers ignoring the warnings for surplus power generation they have decided to set up a Rahimyar Khan coal power plant that can generate 1,320 megawatts, according to officials.
Power Ministry officials informed on anonymity condition that this establishment is merely for business tycoon as it was rejected by CPEC and the federal government of Pakistan. The project was rejected due to its impracticality to be run on imported coal. On the other hand, 1320 MW plant was burdening national exchequer by Rs 500 billion the officials said.
The Punjab government had an agreement with China’s Huaneng Shandong Power Generation Company for constructing a plant in Rahim Yar Khan. Under the agreement, the Chinese company will plant provide technical assistance for establishing the 1320mw coal power plant.
Additional Chief Secretary (Energy) Jehanzeb Khan and Shandong Power Generation Company of China signed the agreement. It is important to note that former Secretary Younus Dhaga and Managing Director of National Transmission and Despatch Company (NTDC) Dr. Fiaz A Chaudhry removed from the top positions merely for opposing new power plants run on imported coal.
Coal plant set up was banned by the former secretary but later on, Prime Minister Nawaz Sharif lift the moratorium and granted permission after a meeting with Cabinet Committee on Energy (CCoE).
Dr. Fiaz Chaudhry who also has criticized coal power plant was shown the out door. He said that no need for this coal plant as we will have surplus energy by 2019 due to ongoing projects of the country. He said at many forums that Pakistan is stepping into an energy trap that adds debts to the country.
NTDC official documents have declared and warned the Power Ministry that country will have more energy in 2019.
And, power and planning ministries have started 26 power projects holding 18,000mw capacity and costs 300 billion without information/data of demand of electricity. And the Prime Minister demanded report on future electricity while chairing a meeting of CCE. Pakistan will have surplus energy by 2019 according to the power-sector expansion plan.