ISLAMABAD: Minister for Energy Omar Ayub Thursday said that Saudi Arabiawould bring an investment of $ 4 billion for building a power plant inBalochistan.
He revealed generation of electricity from solar and wind projects wouldget a boost with the new alternative energy development policy, resultingin reduction of electricity rates to as low as Rs six per unit in futureand saving of precious foreign exchange reserves presently spent on fuelimport.
Talking to APP, he said, “the wind and solar projects will help reduce therate of electricity to Rs 6 per unit and the rate will go down even furtherin future.”
Pakistan Muslim League (N) government generated electricity from liquefiednatural gas at the rate of Rs 17 per unit, he added.
The minister said all stakeholders including the provinces had agreed onthe policy and its implementation would be undertaken by a steeringcommittee at the federal level and by provinces and Alternative EnergyDevelopment Board (AEDB).
The provinces would provide land for the solar and wind projects, hecontinued.
He went on to say that international companies were coming for investmentin the solar and wind projects. The companies would not only generate powerbut would also manufacture wind turbines and solar panels in the country.
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The investment would give impetus to the industrial sector, create jobs inmanufacturing and technology transfer would take place. The government wasworking to improve the electricity grid structure, he explained. He saidthe alternative energy policy was a revolutionary step of the government.Prime Minister Imran Khan had taken personal interest in the policy andalso guided the ministry, he added.
Secretary Power Irfan Ali and Special Assistant to Prime Minister onPetroleum Nadeem Babar and others were focusing on the policyimplementation. The policy would be implemented through competitive biddingresulting in reduction of project cost.
He said Pakistan had investment potential of $ 40 billion in the sector ofalternative energy. Pakistan in future could produce 75 percent ofelectricity from its own indigenous sustainable resources without importingfuel like oil and gas which in turn would save the government’s financialresources, strengthen value of the rupee and cut the current accountdeficit.
Private companies from Japan, the United States, China and Denmark wouldinvest
$ 70 million in projects of 500 megawatts, he said adding results of thepolicy would start appearing in the year 2021. Saudi Arabia would bring aninvestment of $ 4 billion for building a power plant in Balochistan, headded.
