Artistic Milliners intends to set up 62MW hydropower plant

KARACHI: Artistic Milliners, one of leading denim fabric and garment manufacturing companies in Pakistan, planned an estimated $236 million of investment to set up a hydropower project with 62.6 megawatts production capacity, it was learnt on Saturday.

Artistic Hydo-I Private Limited approached the National Electric Power Regulatory Authority seeking generation licence for its 62.6MW hydropower plant to be setup in Khyber Pakhtunkhwa with an estimated cost of $236 million.

The primary sponsor financing the project is Artistic Milliners (Private) Limited. Artistic Milliners is engaged in the manufacturing and trading of denim, garments and fabrics being completely export oriented. The company has a total assets of over Rs55 billion with an annual turnover of over Rs38 billion.

The company has already commissioned a 49.3MW wind power project in Sindh, while another 50MW wind power project is under construction.

Moreover, Artistic is developing a 50MW solar park and carrying out feasibility study of 55.032 MW Artistic-Il hydropower project on Ushu River at Kalam.

With the energy crisis reappearing in the country due to circular debt crisis, industries have started to rely on self-generation to meet the power demand. The circular debt affects the whole energy supply chain due to outstanding payments.

Particularly, textile sector is regaining losses due to sharp recover in export orders after the coronavirus lockdown.

The sector, accounting for 60 percent of Pakistan’s exports, is accelerating efforts to increase their market shares in the international market.

Hydropower makes a significant contribution to electricity generation in Pakistan, representing around 25 percent of capacity and 21 percent of generation. It’s one of the cheapest sources of power generation.

Hydropower potential in Khyber Pakhtunkhwa is very high and Pakhtunkhwa Energy Development Organization has been working on this dimension of development for the last three decades to achieve the self-sufficiency in the power sector.

Khyber Pakhtunkhwa has an estimated power potential of generating nearly 30,000MW. While most of the hydro power projects under development are in public sector, the provincial government has embarked on a multi-pronged strategy for encouraging investment through public, private and public private partnership sectors.

Electrical energy produced from the water resources is a green power as it is non-polluting and renewable in nature. Hydropower development is necessary for countries like Pakistan, where the peaking shortages, both seasonal and daily in power generation are very high.

The total installed capacity of the hydropower stations in the country is about 6,700MW, out of which 3,850MW is in Khyber Pakhtunkhwa, 1,699MW in Punjab, 1,039 MW in Kashmir and 117 MW in the Gilgit Baltistan.