Turkish firm to invest $120-mn in Pakistan

Islamabad: Turkish Company Zorlu Enerji will establish a wind farm of 50MW at an estimated cost of $120 million in Pakistan and later the capacity of the farm will be extended to 250MW.

Murat Sungar Bursa President Zorlu Enerji and Karm Buksh Qureshi, (CEO), Hyderabad Electric Supply Company (Hesco) signed Energy Power Purchase Agreement for Purchase of 6-Megawatt electricity generated at the company facility in Jhimpir.

Taking to journalists after attending the signing ceremony of Energy Purchase Agreement, Minister for Water and Power Raja Pervez Ashraf said that more than 4,000MW electricity would be added to national grid station by the end of this year with the support of private sector. The addition of electricity would help end load-shedding by December 31, 2009, he added.

The minister congratulated Zorlu Enerji for undertaking the project that would pave way for other companies to set up wind mills in Pakistan for electricity generation. Ashraf said the government had chalked out a plan to add 15,000 electricity by 2015 in the existing system that would require a huge amount of 30 billion dollars with share of 20 billion dollars from private sector and $10 billion from public sector.

He noted that the government has initiated rental projects on fast track basis to end power shortfall by year-end. He said 11 projects are being initiated while 12 projects are in pipeline, which will start soon.

The minister said the government is working on its long-term projects such as Diamer-Basha Dam, Neelum-Jhelum and Kohala Projects. As a short term measures, he said the ministry was in the process of adding fast track power to the system in addition to the up-coming new power generation projects for 2009.

'The government would enhance the capacity of existing system and further carry out studies in areas where wind mills can be installed including Kalar Kahar and Gharo, the minister said, adding that 20MW electricity will be generated in Karachi through waste and a plant will be set up soon.

He said the agreement with the Turkish company will pave way for more investment in energy sector. He said this project shows the government's persistence will at tapping indigenous renewable energy sources to meet growing energy needs.

We need relentless efforts to harness our own energy resources, he said, adding that Pakistan is proud of its friendship with Turkey and thanked the Turkish firm for its assistance in helping Pakistan enter the era of wind energy. He said the signing of energy purchase agreement between the IPP and Hesco took the country closer to exploitation of its vast wind energy resources.

Turkish Ambassador to Pakistan Engino Soysal said that Turkish President and Prime Minister have directed to take steps for enhancing co-operation with Pakistan not only in energy sectors but in agriculture, defence and trade as well.

'We are hoping for more investment in Pakistan in different sectors that would be a tangible proof of our relationships, he said and added that Pakistan is peaceful country and is taking all possible measures to bring peace and stability in the region.

Responding to a question about Pak-India tension after Mumbai carnage, he said there should be trilateral dialogue and Afghanistan should also be included to bring peace and stability in the region. He said that ECO forum could play its role in the region to bring stability. It was an important agreement that will encourage more investment in this sector by Turkish companies. 'We are committed to working in Pakistan particularly in energy sector. Pakistan is a key country and we are making every effort to invest in every field, the ambassador said.'

Zorlu Enerji President Murat Sungar Bursa said that the estimated cost of 50MW project was 120 million dollars and the company was also considering to further expanding the project up to 250MW. He said incentives offered by Pakistan's renewable energy policy were a major