NEPRA approves KE's 2024-2028 power acquisition plan

ISLAMABAD: The National Elctric Power Regulatory Authority (NEPRA) has approved K-Electric's (KE) Power Acquisition Program (PAP) for the fiscal years 2024-2028, which the utility says is a pivotal step in KE's efforts to enhance the reliability and sustainability of power supply in Karachi.

KE's PAP, submitted on March 20, 2023, outlines a comprehensive strategy to ensure a stable power supply by integrating renewable energy, local fuel, and power off-take from the National Grid. The program aligns with NEPRA-approved Integrated Generation Capacity Expansion Plan (IGCEP) 2022-2031, National Electricity Policy 2021, and National Electricity Plan 2023-2027.

A key focus of the approved plan is the integration of renewable energy. KE aims to add 1,282 MW of renewable energy, including solar and wind projects, by 2030. This includes a 270 MW solar PV project in Karachi and a 200 MW hybrid plant near the Dhabeji Grid Station. These projects are expected to significantly contribute to the city's energy mix, promoting sustainability and reducing the carbon footprint, the Karachi-based utility said in a statement.

“We welcome the decision by NEPRA on our Power Acquisition Program, providing us a clear roadmap for the next 5 years," said Moonis Alvi, CEO of K-Electric. "Integrating clean energy is vital to driving a sustainable energy ecosystem, balancing affordability with reliability. Over the past few months, we have been garnering a great deal of global interest in our 640 MW renewable energy projects, which indicate the repute that KE enjoys as a brand. This decision enables us to invest in innovative, sustainable technologies, ultimately contributing to the betterment of Karachi and ensuring a brighter future for its residents.”

The PAP also includes capacity additions using local coal, which will diversify the energy mix and reduce reliance on imported fuels. Furthermore, KE's agreements to import additional power from the National Grid are expected to improve grid utilization, benefiting regulated consumers and the sector at large.

This approval marks a significant milestone for KE as it seeks to meet the growing energy needs of Karachi while promoting sustainability through increased reliance on renewable energy sources. The successful implementation of this plan is anticipated to drive the city's economic growth and provide a reliable and sustainable power supply to its residents and businesses.