ISLAMABAD - The board of Private Power Infrastructure Board’s (PPIB) has allowed it to sign agreements for smooth and earliest implementation of their projects including 1,320MW Thar Block-I Power Generation Co (Shanghai Electric Power Co).

The decision was made during the 111th meeting of the Board of Private Power and Infrastructure Board (PPIB) which was presided over by Federal Minister for Power Division Awais Leghari. The minister said that the government has initiated a third party evaluation of the electricity demand and supply scenario which is in the final stage and the Power Division is expected to receive its first report shortly. Leghari said that based on the third party evaluation and other related matters, the government will streamline the approval of new power projects in the country.

While settling multiple matters regarding smooth implementation of power projects, the board decided to allow execution of Implementation Agreements and Supplemental to Implementation Agreements with the Power Generation Projects based on Thar Coal thus allowing PPIB to sign these agreements for smooth and earliest implementation of their projects. These projects include 1,320MW Thar Block-I Power Generation Co (Shanghai Electric Power Co), 330MW Thar Energy (HUBCO) Power Project, 330MW Thal Nova Thar Power Project, 660MW Lucky Electric Power Co and 330MW Siddiqsons Energy Limited.

The minister said that all efforts should be made to promote the local coal and any action should not in any way affect or delay the pace of mining at Thar. He said that any temporary arrangement to use imported coal should be well monitored and the plant design should be based on Thar coal specifications for use of indigenous coal. Leghari emphasized the uniform policy should be adopted for issuance of Letter of Intent (LOI) and Letter of Support (LOS) to the potential investors in the power sector in order to ensure transparency. He said that any extensions in projects timelines should only be allowed in accordance with the applicable policies.

PPIB Managing Director Shah Jahan Mirza briefed the board on the power generation and transmission line projects currently being handled by PPIB. The minister said that PPIB being the one-window facilitator for private sector power projects, should hold its board meetings frequently in order to dispose-off cases more diligently. He conveyed that the Power Division is considering to switch from present upfront tariff regime to competitive bidding regime to add most affordable electricity for the consumers in the national grid. Recommendations in this regard will be placed before the government for its consideration.