Punjab to develop energy resources for power projects

Lahore: Under the Punjab Power Generation Policy, besides developing selected canal sites for hydro power generation, the Punjab government has planned to create & develop extra energy resources by utilising solar power and municipal solid waste through integrated investments.

This was stated by senior Minister Raja Riaz Ahmad while talking to a group of industrialists and traders of Lahore Chamber of Commerce and Industry headed by Shakeel Ahmad at his office. Raja Riaz said Pakistan has successfully attracted significant investment from private sector in power generation.

Under the policy, power projects up to 50 MW capacity based on new technologies such as hydel, thermal, wind, solar and biomass are permitted. Concessions in duties/tax regime announced by the government are also applicable for projects developed under Punjab Power Generation Policy.

Riaz disclosed that the Punjab government was looking forward to developing 10-25 MW power plants, as a pilot project, in southern part of the province. He said that establishment of a 10-25 MW pilot project at Lahore by utilising municipal solid waste is also planned as solid waste can be used for production of energy in an environment friendly manner.

These materials can also be used for producing Refused Derived Fuel (RDF), he added. Riaz said another site of 100-300 MW power plant is planned in Chakwal/Khushab District. As a result of facilitating the policies of the government, the private sector is heavily investing in power sector.

Independent Power Producers such as Kot Addu Power Co (Kapco) with a capacity of 1638 MW, Kohinoor Energy (131 MW), AES Lalpir (362 MW), AEA Pak General (365 MW), Southern Electric Power (135 MW), Rousch (PAK) Power (450 MW), Saba Power Co (134 MW), Fauji Kabirwala (157 MW) and Japan Power (135 MW) are producing a total of 3507 MW thhermal power in the province.

He said Pakistan has a proven track record of encouraging private sector participation and investment in developing its energy resources and building and operating power generation facilities to supply energy to the economy. To encourage this investment, the government has issued a number of energy development incentive policies, he added.