It may be added that Punjab Cabinet committee on Energy and the Private Power and Infrastructure Board (PPIB), had approved the construction of a 1,250 megawatt liquefied natural gas (LNG) based power generation plant at an estimated cost of $802 million. The Punjab government signed an agreement with the China Machinery Engineering Corporation (CMEC) for the Engineering, Procurement and Construction (EPC) of the 1,263 MW Re-gasified Liquefied Natural Gas (RLNG) power plant near Trimmu Headworks (dam) in Jhang in Sep this year.
The contract was awarded to the CMEC along with renowned firm Siemens, declared successful bidder among the seven companies participated in the bidding process. "It is really a great occasion as the world is witnessing how the PML-N leadership in Pakistan is working overtime to resolve the massive power outage issue that badly hit the progress for the last 15 years," said Chief Minister Shahbaz Sharif.
Under the agreement, the CMEC was responsible for completing the first phase (operation of simple cycle) of the project by December next year (14.5 months) whereas the plant's combined cycle operation will complete in November 2019.
The government is already setting up three LNG-fired power plants in Punjab and this is the fourth LNG power project in the province for elimination of electricity outages. The project is being sponsored by China Electric Power Equipment and Technology Company Limited, a subsidiary of State Grid Corporation of China, under the China-Pakistan Economic Corridor (CPEC) framework.
The PPIB was currently handling 32 independent power projects of more than 20,500MW capacity based on hydro, coal and LNG sources as well as the HVDC Matiari-Lahore Transmission Line.
Copyright Business Recorder, 2017