CPEC’s $35bln energy projects

Sindh bags staggering $11.3 billion in investment

KARACHI: A staggering $11.3 billion out of the total allocation of $35 billion for the energy projects under the China-Pakistan Economic Corridor (CPEC) is kept aside for Sindh, a minister said on Wednesday.

Ahsan Iqbal, minister for planning, development and reforms, talking to the members of the Pakistan Stock Exchange, said the prosperity of Sindh means the Pakistan’s prosperity.   

He said the country will become self-sufficient in electricity by 2018 with the addition of 10,000 megawatts and another 15,000MW by 2023-25.

Minister Iqbal said the country will be producing electricity from its own coal by 2019, which has the potential of generating 5,000MW power for the next 400 years. It will initially produce 2,000MW of power. Port Qasim, Sahiwal and Hubco will be producing 1,320MW each by 2017.

Jamshoro will produce 1,320MW on coal in a project funded by the Asian Development Bank, while 3,600MW will be produced on liquefied natural gas by 2017. Nuclear power plants will produce 2,200MW in next five to six years.

Iqbal said two major hydropower projects, Diamer Bhasha dam and Dassu dam, will produce 4,500MW electricity each, while Bhasha dam will have a water storage capacity of five million acre feet. “Rs100 billion have been spent and land acquisition for Bhasha has been completed,” he added.

He said work is also in progress on renewable energy and the projects of 500MW wind and 1,000MW solar energy generation are in the progress. Three billion dollars are being spent on power distribution.

“At least next three governments will handle CPEC, which will continue till 2030. The projects are not government-led. They are state-owned projects,” he said.

The minister said the re-inclusion of stock market in the Morgan Stanley Capital International’s emerging markets index showed that the world was showing confidence on the local market.

The government planned to get the country included in the list of top 25 economies of the world by 2025.

The government achieved the GDP growth rate of 4.7 percent during the last fiscal year, highest within the last five years. It targeted 5.5 percent and six percent in the next two years. Forex reserves increased to $23 billion from $10 billion in the last three days. Stock market reached around 40,000 points from 18,000 points three years ago. “These signs show that country’s economy is improving,” the minister said.

On Gwadar port city, he said the government planned to make it a modern city. A Chinese firm is assisting the government.

In the next 10 years, the government is planning to produce 10,000 PhDs with the support of US-Pak Knowledge Centre.  In order to increase industrial research, the government has earmarked one billion rupees.

With the collaboration of the provinces, the government is establishing National Curriculum Council for creative and innovative curriculum development.