KE’s 420 MW Coal Conversion Project – NEPRA finally gives Generation License

KE’s 420 MW Coal Conversion Project – NEPRA finally gives Generation License

KE to be the first to produce electricity via coal in the country

Karachi, 16th March 2015: K-Electric is pleased to learn that NEPRA has finally approved the Generation License of K-Energy to undertake the Coal Conversion Project of 420 MW at Bin Qasim Power Station 1. This issue had been pending for over a year and finally, NEPRA has granted the license to K-Energy.

K-Electric’s press statement said that the first ever Coal Fired EPC in the countrywas signed between K-Energy and Harbin Electric of China back in 2013 where Harbin would construct new coal-fired boilers on these 2 units of BQPS 1. Harbin Electric International is one of China’s largest enterprises in power project contracting and export of power equipment. This project will be completed in 2 and a half years with an approximate cost of USD 400 million.

Press statement also said that these coal-based units are equipped with emission controlled technologies in compliance with all applicable local and international environmental regulations. KE has been rehabilitating the old plants and units that the new management had acquired back in 2009 and with these coal-fired boilers KE would be the first to generate electricity via coal.

Spokesman K-Electric said, “Issuance of Generation License is a major breakthrough and now NEPRA will determine tariff for the project which will ultimately provide relief to the end consumer. KE believes in producing electricity from coal and will provide fuel security, diversification and reduction in cost of generation by substituting expensive fuel oil with affordable fuel in the existing fleet of K-Electric”.

Providing details the press statement said that this was done with a view to showcase KE’s commitment to pioneer coal conversion and which will also help reduce the power tariff by utilizing low cost fuel sources for its electricity generation.