- K-Electric (KE) has signed an MoU with the Government of Sindh, Oracle Power, and PowerChina for the potential development of a 2×660 MW coal-fired power project based on Thar coal, aiming to increase reliance on indigenous energy sources.
- The collaboration aligns with KE’s plans to enhance its generation capacity through low-cost, indigenous fuel-based power and increase its share of renewable energy to 30% of the overall mix by 2030.
- The project’s development is supported by Oracle Power’s expertise and commitment, PowerChina’s involvement as a strategic partner, and the facilitation of the Government of Sindh.
Committed to increasing reliance on indigenous sources of energy production to provide access to affordable energy for all, K-Electric (KE) has signed a Memorandum of Understanding (MoU) with the Government of Sindh (GOS), Oracle Power, and PowerChina for the potential development of a 2×660 MW coal-fired power project based on Thar coal.
The signing ceremony was attended by CEO Moonis Alvi representing KE, Secretary Energy Abu Bakar Ahmed from the Government of Sindh, CEO Naheed Memon from Oracle Power, and Cheng Qiang from PowerChina.
Sindh Minister for Energy, Imtiaz Shaikh, emphasized the importance of electricity as a fundamental driver of development and progress. He expressed his confidence that this collaboration would be a significant step in the right direction. He assured full support from the government until the project reaches its maturity.
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The main objective of the MoU is to provide a collaborative framework for the partnering parties, setting the stage for the establishment of this ambitious power plant. For KE, this move aligns with the company’s forward-looking plan of enhancing its generation capacity through the addition of low-cost, indigenous fuel-based power. The company aims to add a total of 2,200 MW to its generation capacity by 2030 and increase its share of renewable energy to 30% of the overall mix. These plans are in line with KE’s future projections for the city, which envision a customer base of 5 million using 5,000 MW of electricity by FY30.
CEO KE Moonis Alvi expressed his enthusiasm, stating that the company is committed to achieving net-zero emissions and addressing the energy trilemma of reliability, affordability, and sustainability. The partnership and future plans will significantly reduce KE’s reliance on imported fuels. Moreover, the company aims to enhance its share of renewable energy in the generation mix, providing affordable and sustainable electricity to its customers. To support these initiatives, KE has developed a comprehensive investment plan of PKR 484 billion, which will strengthen the network and deliver energy effectively to its growing customer base.
CEO of Oracle Power, Naheed Memon, reaffirmed her company’s commitment to the development of the 1320 MW coal-to-power project listed under the China-Pakistan Economic Corridor (CPEC). Oracle Power has produced world-class feasibility reports, which serve as benchmark documents for the project’s development. Memon expressed satisfaction with the strategic relationship formed with KE as a potential off-taker and the Government of Sindh as a facilitator and important stakeholder.
A representative from PowerChina highlighted the significance of the Thar Project for Pakistan in terms of utilizing local coal resources. The Oracle 1320 MW Coal Power Project is listed as one of the priority energy projects under the CPEC. With the guidance and participation of the Sindh Government, PowerChina, together with KE and Oracle, will provide support for the project’s success.
Oracle Power is an international natural resource and power project developer listed on the London Stock Exchange. PowerChina is a Fortune 500 listed integrated construction group that has completed over 40 various projects in Pakistan, with a total contract value of approximately USD 6 billion. Additionally, PowerChina currently has 43 projects worth USD 7.5 billion under execution.
Earlier this year, KE also entered into an MOU with China Three Gorges South Asia Investment Limited (CTGSAIL) to collaborate on exploring renewable energy projects across the country.
