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Energy import: Iran to supply 1,000MW to Pakistan

ISLAMABAD:
Pakistan and Iran are set to sign an initial deal for the supply of 1,000 megawatts of electricity to overcome the crippling energy crisis in Pakistan.
Sources told The Express Tribune that the Ministry of Water and Power was calling for the vetting of a draft of memorandum of understanding (MoU) to be signed with Iran for electricity import.
“Pakistan will be paying 8-11 cents per unit of electricity under the formula agreed with Iran,” a source said.
Under the project, Iran will build a powerhouse in its Zahedan province bordering Pakistan to generate electricity for export. Iran has also expressed its willingness to provide a loan of $800-$900 million for the project.
A 700-kilometre transmission line of 500 kilovolts will also be laid from the Pakistan-Iran border to Quetta.

During the previous government, Iran had also expressed interest in setting up a 200MW power plant in Balochistan. Tehran was also keen on installing smaller plants of 25MW each on the ground as well as on barges to help Pakistan overcome the power crisis.
But all the plans stalled due to the sanctions imposed by the West. Iran had offered to export 10,000MW of electricity during the tenure of the previous government.
According to energy experts, the Iran-Pakistan (IP) gas pipeline project has been facing problems due to sanctions imposed by the United States on Tehran.
“So, it may also be difficult for both countries to press on with the 1,000MW power import project unless US sanctions are lifted,” an expert said, adding Pakistan was already facing problems in clearing dues for 74MW being imported for Gwadar.
“The main issue hampering the implementation of the projects is the delay in clearance of Iran dues,” he said, adding other countries like Turkmenistan and Turkey were also facing payment issues with Iran in gas trade.
Iran owed Turkmenistan $1 billion in December 2012 for gas import and due to difficulties in transfer of funds. On the other side, during the same month, Turkey offered barter trade and payment in gold to Iran for the import of natural gas due to hurdles to cash payments.
Experts said Pakistan would also experience payment transfer issues in gas import through the Iran-Pakistan pipeline and in power import project.
At present, Iran is exporting 74MW of electricity per day to the border areas of Balochistan as well as Gwadar, but Pakistan has not been able to carry out banking transactions with Tehran since June 2011 after the US and European Union intensified sanctions.
Iran has been exporting electricity through a 132-kilovolt transmission line. In 2006, Pakistan was importing 39MW, which was later increased to 74MW.
Earlier, the Iranian firm exporting electricity to Pakistan had threatened to cut supplies because of delay in settling the dues.
 
Indian power firm in Pakistan soon | Deccan Chronicle

Lahore: Pakistan has signed an agreement with an Indian firm for setting up a 15 MW biomass power plant in Punjab province.

Universal Biomass Energy director Pawan Preet Singh Badal and Ejaz Munir, Agriculture Secretary of Pakistan’s Punjab, signed a memorandum of understanding for the project during a ceremony held on Friday at the Chief Minister’s secretariat here.

Provincial agriculture minister Farrukh Javed said India would provide technical assistance for the power plant. He said the project would generate 15 MW of electricity.

According to the MoU, the plant would be handed over to Pakistani authorities after successful ins-tallation and working within two years. The energy generated by it would be linked with a 132-KVA supply line.

More similar projects will be completed with the assistance of India to help Pakistan overcome an energy crisis, the MoU said.

Badal assured the Pakistani authorities that technology would be transferred for the biomass energy project.

The other members of the Indian delegation —Sukhbeer Singh Awala, Permamban Singh Romana, Kanwar Jeet Singh and Harish Awala — also attended the MoU-signing ceremony. Meanwhile, the move is being seen as one of the ways to bridge down the gap between the two neighbouring nations.
 
Pakistan water storage capacity dismal

Tuesday, December 31, 2013 - Lahore—Country’s water storage capacity is just for 30 days against the minimum requirement of 120 days while most of the developed countries have 1 to 2 years water storage capability. “The agriculture productivity in Pakistan in the wake of just 30 days water storage capacity has alarmingly tumbled because of the water scarcity and its contribution towards gross domestic product has lowered by 21.8 per cent of GDP,” said agriculturist Jamshed Cheema. “India has the ability to store water for 120-220 days. Egypt has 1,000 days water storage capacity only on River Nile, America 900 days on River Colorado, Australia 600 and South Africa has the ability to store water for 500 days on River Orange.”

Cheema said that water shortage in Pakistan will increase to 31% of people’s needs by 2025 and he underlines the need for some tangible steps, including water usage charges and building of huge water reservoirs including Kalabagh Dam, to cope with the coming problems. Water is lifeline for Pakistan and even more important issue than Kashmir and Islamabad should relate this vital issue with granting of MFN status to India, he suggested.

He lamented that the top political leadership and establishment are not paying heed towards improving the water storage capacity of the country and increasing the per capita water availability, rather their indifference to this alarming issue is forcing 173 million people of the country to food insecurity in the years to come. He stated that per capita water availability at the time of creation of Pakistan was 5,600 cubic metres, but it currently stands at only 1,000 cubic metres, placing Pakistan among water-scarce countries. To tackle the situation, Cheema suggested that the government should apply reasonable water usage charges to discourage wastage of the resource. “Adoption of modern water conservation methods and agricultural practices is imperative to cope with water scarcity as Pakistan has been placed in red zone due to low per capita water availability at 1,000 cubic metres.”

The noted agriculture expert observed that India has 1,600 cubic metres of water per person per year while major European countries have up to twice as much ranging from 2,300 cubic metres in Germany to 3,000 cubic metres in France.

Jamshed Iqbal Cheema said that country’s live water storage capacity has further dropped by 29 per cent in the water reservoir which is badly affecting the agricultural and power sectors of the country. He said that Tarbela dam had lost 32 per cent water storage capacity as its original live water storage was 9.69 million acre feet (MAF) while the present live water storage capacity was 6.56 MAF. Similarly, Mangla dam had an original capacity of 5.34 MAF.
 
Around 22 solar power projects to be functional by 2016

ISLAMABAD, Feb 6 (APP): Around 22 solar power projects having a cumulative capacity of 772.99 MW are under different stages of development will achieve commercial operation DeCOD by 2015-16, subject to availability of Grid by National Transmission And Despatch Company (NTDC) and announcement of tariff by NEPRA. Alternative Energy Development Board (AEDB) is promoting the use of solar technology at domestic level for electricity generation. The private sector is already using solar energy for domestic use for self consumption as there is no restriction or licensing requirement,official sources told APP, here today.
Souces said Alternative Energy Development Board (AEDB) is pursuing and facilitating the development of Alternative & Renewable Energy (ARE) based power projects through the private sector under Renewable Energy (RE) Policy 2006.
Official said the RE power projects based on wind and solar energy are being developed by private sector on IPP mode.
Besides solar,3 wind power projects of 150 MW capacities in total are under construction and will be completed in 2014, he said.
Another 13 wind projects having a cumulative capacity of 680 MW are at advance stages, ready to achieve financial closing in 2014.
In total, 33 wind power projects are in different stages of development,while 2 wind power projects of 49.5 MW and 56.4 MW capacities respectively are operational.
Sources said the RE Policy 2006 allows consumers to avail features like Net-Metering and Wheeling of Energy which require interconnection with the grid.
“The implementation of such schemes, however, requires regulatory framework enabling the domestic, commercial and industrial users to carry out net-metering, wheeling using solar energy”.
Sources said AEDB has prepared draft rules for distributed generation,covering electricity generation from solar at domestic level, and submitted the same to National Electric Power Regulatory Authority NEPRA for announcement.
“NEPRA, being the regulator, is the concerned agency for developing regulatory framework including incentives”.

Associated Press Of Pakistan ( Pakistan's Premier NEWS Agency ) - Around 22 solar power projects to be functional by 2016
 
Pak, Chinese firms sign contract for coal-based plant

LAHORE - PR- Sitara Chemicals has signed contract with Chinese company Shandong Yangkoan Engineering Design Co Ltd for 35MW coal based power plant, a joint venture between the Pakistani and Chinese company.
Contract was signed at a local hotel by Sitara Chemicals Industries Ltd Chief Executive Adrees and representatives of Chinese company Shandong Yangkoan Engineering Design Co Ltd in the presence of chief guest Federal Minister for Mines & Minerals Abid Sher Ali Khan.
This project will be completed within the time frame of two years and become a value added binding force in strengthening Pakistan-China friendship.
Chief Executive Sitara Chemicals said it is a ‘redefining moment’ for Sitara Chemicals to ensure uninterrupted power supply to its plants round the year.
He said, “We proudly announce to take initiative of 35MW coal based power plant with a reputable Chinese company having the distinguished technological excellence in designing coal power plants. This plant will prove to be a milestone in the history of Sitara Chemicals.”
Giving briefing to media, Federal Minister for Mines & Minerals Abid Sher Ali Khan said resolving energy crisis is one govt’s top priorities. We praise the visionary approach of Sitara Chemicals Ltd for this self-reliant initiative of coal based power plant. He hoped that Pakistan will overcome the energy crisis through the pivotal role of corporate sector and government of Pakistan with the patronage of China.

Pak, Chinese firms sign contract for coal-based plant
 
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Pakistan to get $900mn from ADB for Jamshoro coal power project

ISLAMABAD: The Asian Development Bank (ADB) will provide $900 million to Pakistan for completion of Jamshoro coal power project.

Pakistan and ADB signed an agreement in this regard on Wednesday. Secretary Economic Affairs Division Nargis Sethi and ADB Country Director signed the pact. The project will be completed in 4 years.

Finance Minister Ishaq Dar was also present on the occasion.

Dar said the government is taking concrete measures to generate cheap electricity to overcome power crisis in the minimum possible time.

Under the agreement‚ the ADB will assist Pakistan to complete two units of 660 megawatt each at Jamshoro power plant which will generate electricity through imported coal.

Pakistan to get $900mn from ADB for Jamshoro coal power project - thenews.com.pk
 
Militants blow up 3 gas pipelines in Pakistan

ISLAMABAD: Separatist rebels from Pakistan's resource-rich Baluchistan province have blown up three gas pipelines, cutting supplies to the country's most economically important province, an official from a state-owned gas company said on Monday.

The rebels blew up the pipelines to Punjab province overnight, said Ayub Bajwa, the emergency manager on duty for Sui Northern Gas Pipelines Limited in the capital of Islamabad.

Punjab is Pakistan's most populous and wealthy province and the power base of Prime Minister Nawaz Sharif. Most of the province is now without gas.

"This the first time they have blown all three simultaneously," Bajwa said. "They used to just blow up one here or there."

The pipelines are large — 24, 18 and 16 inches in diameter. It will take at least two days to repair them, Bajwa said.

During that time millions of Pakistanis will be unable to heat their homes or run their factories.

Sarbaz Baloch, a spokesman for the banned Baluch Republican Army, said his group had blown up the pipelines near the Punjabi town of Rahim Yar Khan, about 600 km (370 miles) south of Islamabad.

The BRA is fighting for the independence of Baluchistan, Pakistan's poorest and biggest province. They accuse the federal government of looting the province's rich mineral resources and leaving its people to live in poverty.

Human rights groups have accused both the Baluch rebels and government security forces of serious human rights abuses, including kidnapping, torturing and killing civilians.

Militants blow up three gas pipelines in Pakistan - Times Of India
 
China to provide $ 6.5b for K-2/K-3 Nuclear power projects

ISLAMABAD, Feb 18 (APP):China will provide loan of $ 6.5 billion for nuclear power plants KANUPP-2 and KANUPP-3 on soft terms, which will help Pakistan to make a substantial improvement in its dire electrical power shortage problem.Earlier,china has also provided similar loan terms for the Chashma nuclear power plants C-3 and C-4,official sources at Pakistan Atomic Energy Commission (PAEC) told APP here Tuesday.Official said this agreement is a classic case of a win-win situation for both parties,adding for China, it is a profitable investment that also contributes to its industrial development.He said such investments by vendor countries are not unusual,for example,Russia is financing the entire cost of the 4800MW plant that it is providing to Turkey, and has also promised to finance a planned nuclear power plant for Bangladesh.
In fact, a soft loan of $500 million has already been provided to them for preliminary studies, he added.
“In nuclear technology,China is now well on the way to assuming the mantle of world leader and at present,29 nuclear power plants are under construction there, by far the largest in any country”.
Official said China is also making its presence felt in the international nuclear power arena.Recently, experts from China were invited to provide technical advice and guidance for the new nuclear power projects that have been initiated in the United States, he added.
“The Americans owners of the upcoming plants have also set up offices in Shanghai to enable their own workers to learn directly from the greater and more recent chinese experience in the latest techniques in nuclear power technology”.
Chinese companies have also entered into a joint international venture to set up nuclear power plants in the United Kingdom.
In Pakistan,the first unit at Chashma,imported from China,has been working efficiently for the past 14 years and the second has been doing well for more than two years.
“Construction of two more units is proceeding smoothly and is several months ahead of schedule”, official concluded.

Associated Press Of Pakistan ( Pakistan's Premier NEWS Agency ) - China to provide $ 6.5b for K-2/K-3 Nuclear power projects
 
Solution to energy crisis: Pakistan sets sights on coal
By AFP
Published: February 19, 2014
673600-COAL-1392791710-124-640x480.jpg

Proposed site of Energy Park in Qadir Goth, a village of Sindh. PHOTO: AFP

GADANI: After years of rolling blackouts that have wreaked havoc on industry and fuelled political unrest, energy-starved Pakistan has set its sights on a coal-fired future.

Regarded as the dirtiest of all fossil fuels, recent discoveries of untapped coal fields in the south of Pakistan have convinced the government they could be on the cusp of a solution to their energy woes.

Late last month, Prime Minister Nawaz Sharif and his former rival, ex-president Asif Ali Zardari jointly inaugurated the construction of a $1.6 billion coal plant the southern town of Thar, hailing their shared goal of ending the nation’s power crisis.

The government has also green-lighted the construction of a pilot 660 megawatt coal-fired plant in Gadani, a small, serene town on the Arabian Sea known as the country’s ship-breaking hub.

A 600 megawatt plant has also been given the go-ahead in the city of Jamshoro.

The construction of these plants is one plank in an ambitious plan to convert many of the country’s existing oil-based thermal plants and upgrade its ports as they begin swapping one black gold for another.

“This is a major and historic fuel switching plan as we generate zero from coal compared to India which generates 69 percent of its electricity from coal-fired power plants,” Minister for Water and Power Khawaja Asif told AFP.

Pakistan has struggled with scheduled power cuts for decades. But the problems have been particularly acute since 2008, with regular outages of up to 22 hours a day for many domestic users and even longer for industries – costing about two percent of GDP per year.

In the hot summer, when temperatures soar to 50C in the country’s centre, the country produces around 18,000 MW of power, with an average deficit of 4,000 MW.

A lack of capacity together with huge debt cycles exacerbated by poor rates of tax collection are seen as some of the major factors contributing to the country’s dismal power shortages.

The issue was also a central campaign theme in last year’s general elections, which saw Nawaz Sharif elected to the top post.

Faced with a growing bill for imported oil that currently stands at $14 billion and a rapidly depleting supply of natural gas, the country’s private and public plants are switching their oil-plants over to coal.

“Pakistan has been facing rising oil prices and declining gas reserves as well as tight foreign account situation, rendering the reliance on the import of oil to fuel power plants increasingly unaffordable,” the Asian Development Bank said in a statement.

Pakistan’s largest private sector power utility Karachi Electric Supply Company (KESC), which provides electricity to the country’s biggest city, has taken the lead in plans for the coal switch.

The company has recently granted engineering, procurement and construction contracts to Chinese company Harbin Electric International to convert two units of the Bin Qasim thermal power stations with 420 megawatt capacity.

The $400 million project is expected to be completed by 2016.

Alongside the conversions, Pakistan is also upgrading its port facilities to increase its ability to import coal.

“Ports are the lifeline of the country,” says Haleem Siddiqui, a veteran seaman who pioneered the first state-of-the art container terminal at Karachi Port and whose company is building a “dirty cargo terminal” at Port Qasim along Arabian Sea.

The fully-mechanised terminal would be able to handle four to eight million tons of coal in the first phase to be completed by 2015, growing to 20 million tons in the extended phase in 2020, at a cost of $200 million.

But merely raising the amount of imported coal would strain the country’s already dwindling foreign exchange reserves and adverse balance of payment, which fell to 13-year low of $2.8 billion in February.

Which is why Pakistan is determined to find some of its energy needs under its own soil.

Some experts have pointed to the Thar Desert in Sindh, which sits on top a vast potential source of 175 billion tons of coal.

“It is very huge reserve and is equivalent to combined oil reserves of Iran and Saudi Arab in terms of heating value,” Agha Wasif, chief of the provincial energy department told AFP.

Engro Powergen Limited, a joint venture of public and private sectors, is developing a block of the Thar coal field with $800 million dollars investment which is set to open by 2016.

But not everyone is pleased. Some residents inside the Gadani Energy Park have been forced to leave their homes.

“We are living here for seven generations and we have the graves of our ancestors here, how could we leave our place?” said 25-year-old Umaid Ali from the village of Qadir Goth.

The power minister said no widespread displacements would take place, saying the land purchased for the Energy Park had been purchased long ago “and if there is any (residential) disturbance that would be duly taken care of”.

Pervez Hoodbhoy, a nuclear scientist and energy commentator, said that despite its dirty reputation – coal produced 44 percent of global C02 emissions in 2011 – Pakistan has few other options to keep the lights on.

“I’m aware of the fact that there are serious CO2 issues but the amount Pakistan is producing would be insignificant on the global scale.

“The alternative is nuclear power plants being imported from China and those have the potential for disaster given Pakistan’s safety record. Given the choice this seems to be the lesser of two evils,” he said.
 
Heavy investment in energy sector in Punjab expected due to CM’s meetings in China http://www.brecorder.com/top-news/1...ab-expected-due-to-cms-meetings-in-china.html

LAHORE: Punjab Chief Minister Muhammad Shahbaz Sharif and his delegation met heads of different energy companies, financial institutions, development agencies and banks in Beijing on the third day of his visit to China and discussed various proposals for investment in coal, solar and hydle power projects in Punjab.
Heavy investment in the energy sector is expected in the province as a result of these meetings, says a handout released by DGPR here on Thursday.

The chief minister informed Chinese investors that solar power plant in south Punjab would start operating by the end of the current year. He said in order to facilitate investors, the Punjab government will initially make investment in various energy projects.

He said there was a vast scope of setting up power plants operated with hydle, solar, wind and coal-fired energy and the Punjab government was offering the best rate of profit to investors.

Projects to be started with Chinese cooperation will be executed with the same speed at which metro bus project was completed in Lahore, he added.

Meanwhile, talking to the media, the chief minister said the agreement reached between China and Pakistan the other day in Beijing was of historic significance.

He said under the agreement China will make investment of billions of rupees in Pakistan and it will be the heaviest Chinese investment in Pakistan in the history of the country. He said China had promised to invest twenty billion dollars in the energy sector only to rid the people of Pakistan from loadshedding.

Shahbaz Sharif said heavy investment by China in Pakistan was a proof of its confidence in the leadership of the country. Chinese leadership was fully aware of the fact that the reigns of the country were in the hands of those who believed in practical work and were totally sincere and committed to the nation, he added.

Later, the chief minister attended a reception hosted by the Chinese Prime Minister. Speaking on the occasion, the chief minister expressed gratitude to the Chinese prime minister for announcing to cooperate in the construction of motorway from Lahore to Multan.

The chief minister also informed the Chinese leadership and investors about the efforts made by the federal and provincial governments since coming into power for increasing electricity production.

http://www.brecorder.com/top-news/108-pakistan-top-news/158875-heavy-investment-in-energy-sector-in-punjab-expected-due-to-cms-meetings-in-china.html
http://www.brecorder.com/top-news/1...ab-expected-due-to-cms-meetings-in-china.html
 
5789 MW electricity by 2016

February 24, 2014
APP
ISLAMABAD - Five hydel power projects, with a capacity to produce over 5,789 MW power, would be completed by 2016, said an official of Water and Power Development Authority (WAPDA).

According to an official, the power would help meet the energy requirements of the country. The Diamer-Bhasha Dam project on River Indus is a “lifeline” for national economy, which will go a long way in meeting future agricultural and electricity requirements. Diamer-Basha Dam has three important objectives, including flood control, power generation and storage of water. The gigantic project will generate 4500 megawatts electricity and store over eight million acre feet of water to meet growing power and irrigation needs. The Golen Gol Hydropower Project, being constructed by the Pakistan Water and Power Development Authority (Wapda) in district Chitral of Khyber Pakhtunkhwa province, will complete in 2015 and will produce 106 MW. Golen Project is a part of least-cost energy generation plan of government, being executed by Wapda on priority basis to harness the indigenous hydropower resources of the country to improve the ratio of hydel electricity in the National Grid, help reduce electricity tariff and provide relief to the consumers. On its completion, the project will contribute about 436 million units of electricity to the system.

The Neelum-Jhelum Hydroelectric Project is being constructed over river Neelum and the project, once completed, will contribute about 5.15 billion units of electricity annually to the National Grid.

Annual benefits of the project have been estimated at Rs. 30 billion.

The Hydroelectric Neelum Jhelum project would be completed in 2016.

The said Neelum-Jhelum Hydroelectric project would help the country in meeting its growing energy requirements. The project would produce 969 MW electricity.

The Duber Khwar Hydropower Project is located on Khan Khwar River, right bank tributary of Indus River near Pattan District Kohistan in Khyber PakhtunKhwa province at a distance of 265 Km from Islamabad. Duber Khwar would produce 130 mw power.

He said tender of Kurram hydropower project has already been floated and engineering design is complete. The project would produce 84 MW power and it will be completed wihthin 48 months.
 
China: New airport to promote export of fresh fruit from Pakistan

The approval early this month by the General Administration of Quality Supervision, Inspection and Quarantine that Kashgar international airport will be the only entry point for fruit imports in Xinjiang will greatly facilitate Pakistani fresh fruits traders to export their products to China by air.

It helps meet China’s growing demand for fresh fruits from its surrounding region, including citrus and mangos from Pakistan, and cherries from Tajikistan, reports China Daily. The airport is located in Kashgar, an oasis county-level city with nearly 350,000 residents.

China: New airport to promote export of fresh fruit from Pakistan
 
So, USD 1.2 Million for 15 MW more? That is a bargain. Good deal. I wish we could improve other older projects AND commission new ones. Punjab could generate a lot of power from canal network.
 

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