ISLAMABAD: The Implementation Agreement (IA) of Pakistan’s largest thar coal-based power generation project of 1,320 MW power generation capacity has been signed at Private Power and Infrastructure Board (PPIB) for materialising the financing of $1.912 billion as the cumulative project cost, meanwhile the project is based on state of the art Super Critical Technology (SCT).
Federal Minister for Energy Omar Ayub Khan who is also the Chairman of PPIB has highly appreciated PPIB’s efforts to expedite processing of Independent Power Producers (IPPs) based on indigenous fuel.
PPIB Managing Director Shah Jahan Mirza and Thar Coal Block-I Power Generation Company Limited (TCB-I) Chief Executive Officer Meng Donghai signed the agreement. Signing was witnessed by senior officials of PPIB and TCB-1. Earlier, the Power Purchase Agreement (PPA) of the project had already been executed.
The 1,320 MW Shanghai Electric Thar Block-1 Coal Project is being developed under the umbrella of China-Pakistan Economic Corridor (CPEC) through TCB-I while M/s Shanghai Electric Group Company is the main sponsor of this project.
The project will utilize Thar Coal supplied by Sino Sindh Resources Limited which is executing coal mining operations for coal extraction in the Thar coalfield Block-I.
The letter of support has already been issued to the project by PPIB while financial closing is expected to be achieved very soon. It is anticipated that Shanghai Electric Thar Block-1 Coal Project will start generating electricity from March 2021.