The Special Investment Facilitation Council (SIFC) has unveiled an ambitious plan to harness the power sector's potential by initiating nine projects with an estimated combined investment of $6.87 billion. These projects are set to be offered to investors through Government-to-Government (G2G) collaboration, marking a significant step toward enhancing the nation's energy infrastructure. Business Recorder has been reliably informed about these developments.
The first project on the list is a 1320 MW power venture situated at Thar coal block-II in Sindh, with a projected cost of $1.2 billion. The technical studies for this initiative are already available, and the sponsors are gearing up to carry out a feasibility study. Next up is the 1200 MWp solar PV project located in Layyah, Punjab, valued at $800 million. Amendments to the framework guidelines for solar initiatives have been approved, paving the way for negotiations after Price Discovery.
Another noteworthy project is the 600 MWp solar PV endeavor in Jhang, Punjab, with an estimated budget of $400 million. The feasibility study for this project is slated to be conducted by the sponsors. In addition, the 132 MW Hydropower project in Rajdhani, costing $300 million, is set to undergo a fresh feasibility study.
The list also includes two vital transmission line projects – the 500 kV Transmission Line from Ghazi Barotha to Faisalabad at $400 million and the 500 kV transmission line from Matiari to Rahim Yar Khan valued at $570 million.
Furthermore, the SIFC has proposed an investment of $350 million in 2000 MVAR five reactive power compensation devices. Required amendments in the Transmission Line policy have been approved, and a comprehensive Reactive Power Optimization Plan is underway, expected to be completed in October 2023. Lastly, the initiative for 1000 MWh battery storage aimed at frequency regulation, with an investment of $300 million, is progressing well. Feasibility studies are underway, and they are expected to conclude by the end of October.
Notably, the largest project on the list is the 4500 MW Diamer-Bhasha Dam, requiring an investment of $2.55 billion. WAPDA has enlisted the assistance of a consultant to propose equity-debt participation options for foreign investors and formulate a transaction structure for the Diamer Bhasha Dam Project (DBDP). This ambitious undertaking holds great promise for the nation's energy landscape and economic development