Consultative Session on maximum utilization of coal

Islamabad, June 29, 2022 (Online): A consultative session was held at NEPRA Tower to discuss how to maximize utilization of coal (both local and imported) as a cheaper source of electricity generation to reduce power tariff.

The session was presided by NEPRA Authority including Chairman NEPRA, Tauseef H. Farooqi and Members NEPRA, Rafique Ahmad Sheikh and Engr.

Maqsood Anwar Khan and was attended by representatives of Central Power Purchasing Agency (CPPA-G), Private Power Infrastructure Board (PPIB), Thar Coal Energy Board (TCEB), Sindh Engro Coal Mining Company (SECMC), IPPs, Industrialists, Coal Importers and Coal Transporters.

The experts and participants were of the view that Coal-fired power plants in Pakistan are importing coal mainly from South Africa and Indonesia. The global economy has been experiencing a commodity super-cycle due to many factors including the current Russia-Ukraine conflict combined with COVID-related logistical issues and coal is among the commodities whose prices have surged many times over the last year.

Accordingly, the power tariffs of coal-based IPPs are becoming prohibitively expensive, therefore, the Authority wants to explore options of optimal utilization of local coal. The session ended with the view to convey the various options to Federal Government for further action.

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