Nawaz seeks Chinese investment in energy sector

[Edevelop]

ISLAMABAD - A five-member delegation led by Wang Yitong, China North Industries Corporation (NORINCO) chairman, called on Prime Minister Nawaz Sharif at PM’s Office on Thursday.
The chairman congratulated Nawaz on the assumption of his office. He briefed the PM that his company was one of the 500 largest state-owned enterprises in terms of assets and revenue and deals in various areas, including petroleum, mining, engineering and infrastructure projects.
He informed Nawaz that after the successful visit of the Chinese Premier Li Keqiang to Pakistan, they have enjoyed special support of the Chinese government and leadership to boost business relations between the two friendly countries and undertake projects in Pakistan.
Nawaz said Pakistan was experiencing a severe power shortage. He invited NORINCO, which is engaged in production of solar power plants, to install solar power plants in Pakistan.
The PM said, “We have vast areas in Balochistan and southern Punjab which have sunshine round the year and there is ample land available for installation of solar power plants in Pakistan.”
During the meeting, Nawaz also discussed the possibility of installation of solar energy plants in Balochistan where population was thin, scattered and at distances.
The PM also offered NORINCO to look into mining and setting up of coal power plants at sites in Thar, Balochistan and Punjab where coal is available. The work on the mining and setting up of Thermal Power plants, Nawaz said, could be carried out simultaneously so that the power can be produced as quickly as possible.
The PM also offered NORINCO to look into the exploration of iron ore in the country.
He also discussed the possibilities of projects for running underground trains in Karachi, Lahore and twin cities of Rawalpindi and Islamabad in order to facilitate commuters in these cities.
The NORINCO head said that his company was serious and keen to take up projects in Pakistan. In this connection, the chairman informed Nawaz that on his return to China, he would immediately despatch his team of experts to Pakistan to initiate discussions and take these ideas forward.
The PM assured the Chinese delegation that his government is ready and would extend all possible support and cooperation to NORINCO for expediting the process so that work on these projects can start in right earnest.
The meeting was attended by Punjab Chief Minister Shahbaz Sharif, Power Minister Khawaja Asif and Planning and Development Minister Ahsan Iqbal.

Nawaz seeks Chinese investment in energy sector | Pakistan Today | Latest news | Breaking news | Pakistan News | World news | Business | Sport and Multimedia

 

[BATMAN]

Why not these politicians, libralize the energy policy?

These politicians will never allow a common Pakistanis grow.

People need to reject this way of governance, where they have to pay taxes to pay the debts of the loans taken by zardari, his wife and sharif.

 

[airmarshal]

To me at least and I could be wrong here, the root cause of power crisis in Pakistan is
1. Privatization of power sector
2. Too much dependence on furnace oil, which is imported fuel.

 

[Edevelop]

I just noticed this from above

He also discussed the possibilities of projects for running underground trains in Karachi, Lahore and twin cities of Rawalpindi and Islamabad in order to facilitate commuters in these cities.

 

[arushbhai]

To me at least and I could be wrong here, the root cause of power crisis in Pakistan is
1. Privatization of power sector
2. Too much dependence on furnace oil, which is imported fuel.

They are going to convert plants run on oil to coal. Pakistan will be importing coal from other countries besides using its own. Itll decrease the price by 60%.

I know a lot of people are mad at the budget, but you guys have to understand that its a sour medicine that we all have to drink in order to put pak back on its feet. Next budget will be very people friendly

 

[airmarshal]

They are going to convert plants run on oil to coal. Pakistan will be importing coal from other countries besides using its own. Itll decrease the price by 60%.

I know a lot of people are mad at the budget, but you guys have to understand that its a sour medicine that we all have to drink in order to put pak back on its feet. Next budget will be very people friendly

But the price decrease will not be passed to the consumers. The govt is always short on revenue.

Pakistan is a developing country. For the economy to grow, costs of input will have to be lower. Right now, when I compare the bill in my home in Karachi, the per unit price is almost the same as here in dollars. Now if the income is in rupees and the prices are in dollars, you know what that gap creates? Social upheaval, theft, crime etc.

 

[arushbhai]

But the price decrease will not be passed to the consumers. The govt is always short on revenue.

Pakistan is a developing country. For the economy to grow, costs of input will have to be lower. Right now, when I compare the bill in my home in Karachi, the per unit price is almost the same as here in dollars. Now if the income is in rupees and the prices are in dollars, you know what that gap creates? Social upheaval, theft, crime etc.

How much are you paying per unit?

 

[airmarshal]

How much are you paying per unit?

Regulated Price Plan Time-of-Use Pricing
12.4 ¢/kWh Highest Price (On-peak) (Rs 12)
10.4 ¢/kWh Mid Price (Mid-peak) (Rs 10)
6.7 ¢/kWh Lowest Price (Off-peak) (Rs 7)

 

[BATMAN]

To me at least and I could be wrong here, the root cause of power crisis in Pakistan is
1. Privatization of power sector
2. Too much dependence on furnace oil, which is imported fuel.

Stop buying from IPP!

You make no sense in your comments above... how can you link power crissis with imports?

If for an instance we believe your theory than how does petrol and diesel fired power generators fare.. and almost every house, factory have them, running the moment power fails.

But the price decrease will not be passed to the consumers. The govt is always short on revenue.

Pakistan is a developing country. For the economy to grow, costs of input will have to be lower. Right now, when I compare the bill in my home in Karachi, the per unit price is almost the same as here in dollars. Now if the income is in rupees and the prices are in dollars, you know what that gap creates? Social upheaval, theft, crime etc.

Every thing is more expensive in Pakistan than any other country of the world and i keep saying it.

Now you are comparing electricity.... you have no idea the electricity what you have in Canada is coming from a much stable source and there is a functioning system behind and hence is reliable and stable.

In Pakistan you do pay the same amount but you never get same quality... and it is mainly because of democratically appointed staff.

Anyone like to compare any other commodity from any other country?

 

[airmarshal]

mainly because of democratically appointed staff.

Well said. democratically elected staff.. ha ha ha .. Here, no company can do what KESC or any other does to consumers in Pakistan. Not just competition but here customer is very well aware.

 

[airmarshal]

Stop buying from IPP!

You make no sense in your comments above... how can you link power crissis with imports?

If for an instance we believe your theory than how does petrol and diesel fired power generators fare.. and almost every house, factory have them, running the moment power fails.

Petrol imported in Pakistan costs around 10 billion dollars. When IPPs were first established in 1993, under Benazir government, fule was $10 per barrel, now its is over $100.

Whatever is imported is expensive. Thats the rule everywhere. Except of course like Canada and US which have very strong currencies. In Pakistan, not only international prices going up, the currency is also depreciating. So its a double whammy for consumers there - buying expensive fuel from a currency that is getting cheaper every passing day.

Not just the import bill, our very competent and totally non corrupt government of PPP, which had full control to run the country for 5 years, signed IPP contracts with their friends and their families, in which the government of Pakistan pays them in US dollars. They produce power or not, no one asks them. If you haven't seen daylight robbery ever, IPP contracts is an example.

 

[Edevelop]

Pakistan, China join hands to cooperate in energy, mass transit

Pakistan and China Friday signed a memorandum of understanding for cooperation in the fields of energy, mass transit, industrial cities and road sector projects. The MoU was signed between Ministry of Water and Power and China-based M/s Norinco International as a company’s delegation headed by its Vice President Wang Yitong, who is currently visiting Pakistan. Amid presence of Prime Minister Muhammad Nawaz Sharif, Wang Yitong of M/s Norinco and Anwar Ahmed Khan, Secretary Water and Power signed the MoU.According to the MoU, M/S Norinco and the government of Pakistan would pursue cooperation in the fields of mass transit, energy projects specifically solar in different provinces.
The company would also help the host country for setting up industrial cities along Motorways, solar irrigation and road sector projects.
The Chinese company undertook to facilitate financial assistance from Chinese government on a fast track basis.
Under terms and conditions of the MoU, Pakistan would utilize financial, technical and managerial expertise of M/s Norinco International in the aforesaid fields and other such sectors which may be identified from time to time with mutual consent of both the parties.
The Chinese company would try to provide financing and technical support, assistance and services pertaining to the said sectors to Pakistan’s government.
The specific mode for implementing the projects would be developed and finalized on the basis of mutual consent between the parties.
The MoU would come into force at once and would remain valid till such time as agreed to by the parties.
Among others also present during the signing ceremony included Chief Minister Punjab Muhammad Shahbaz Sharif, Minister for Finance Ishaq Dar, Minister for Water and Power Khawaja Asif and Minister for Planing and Development Ahsan Iqbal.

Pakistan, China join hands to cooperate in energy, mass transit