KARACHI: Thar coal project is progressing five months ahead of its schedule and it will add 660MW to the national grid by 2019, which will change the energy scenario in the country.
This milestone has been achieved with the support and facilitation by both federal and provincial governments to make this mega project a success story, Sindh Engro Coal Mining Company (SECMC) Chief Executive Officer Shamsuddin Ahmed Shaikh said in an interview to APP.
The first phase of the project based on two plants of 330MW each will cost $1.1 billion, he said, adding that it has 75 percent foreign and 25 percent local financing. Shaikh said that SECMC’s production schedule is 38 months. "We are five months ahead of schedule.”
Of the total 112 million cubic metres excavation, we have done seven million cubic metres, he added. The two power plants and mining in block two of Thar coal would cost $3.2 billion. Fifty Pakistani and three Chinese banks are financing this project, Shaikh said.
Engro Corporation and the Sindh government are the main sponsors, he said, adding that the federal and Sindh governments are keen to see this mega project operational at the earliest.
"There is a big pressure on us from both the governments. We are going as fast as we can," he said.
The Sindh government had constructed high standard roads network in Thar district, especially linking coal deposit areas to highways and cities.
The federal government is setting up international airport there. A big dam and an effluent treatment plant are being constructed near the coal mines, he said.
The federal government is also working on a transmission line to link power generation plants from Thar coal with the national grid, he said.
Both the mining and power plants are being built according to the National Environment Quality Standards (NEQS) to ensure clean environment.
Third generation technology is being used in mining and power generation. Boilers are being built with European technology, Shaikh said.
The SECMC CEO said among the total 2,028 workers, 997 are natives of Thar district who included semi-skilled manpower, 647 were Chinese and 384 belonged to other parts of the country.
For maximum participation of Thar people in Thar coal and other affiliated projects and for their economic empowerment, in general, SECMC along with other organisations had launched different training programmes.
The main initiatives in social front are Hunar Foundation Programme, a 70-bed hospital in collaboration with the Indus Hospital, Marvi Mother and Child Clinic schools at different locations in partnership with The Citizen Foundation (TCF).
As a part of the resettlement action plan, modern residential colonies are being constructed for the local people who would be displaced from Block II area of Thar coal deposits.
Each housing unit would spread over 10,000 square feet with the covered area of 2,000 square feet, the SECMC CEO said, adding that it would consist of three bedrooms, kitchen, store, toilet and a washroom.
Shaikh said 18,000 acres of land was required for the project, of which 6,000 acres had been acquired so far from the Sindh government.
The need for energy is gradually increasing, as 15,000MW is required at the moment, he said, adding that till 2040, the need would rise to 100,000MW because of the population growth and fast urbanisation.
After various studies on different sources of electricity production, it was concluded that producing electricity from Thar coal would be the most beneficial to the country.
Of 186 billion tons of coal available in Pakistan, 175 billion tons is present only in Thar. Thar coal had more heating than that of oil found from Iran and Saudi Arabia, he said.
Thar coal had 68 times more potential as compared to the total gas reserves in the country, Shaikh said, adding that the total area of Thar coal spans over 9,000km, which is divided into 13 blocks.
The quality and cost compared favourably with other lignite mines in the world, he said, adding that the lignite could be used in mine-mouth power plants and could also be transported to other countries. The heating value is feasible for mine operation.
He expressed confidence that the Thar coal project would be promising for the socioeconomic development of the country.
