All You Need to Know About Electricity Projects Under CPEC (Part II)

Our previous article covered the list of projects which will become operational during the first phase which ends in December 2019.

Read More: All You Need to Know About Electricity Projects Under CPEC (Part I)

However, as we mentioned before, the bigger and more advanced projects are due for later and will be completed in the second phase which will complete within the next six years.

Lets take a look at some detailed information regarding each of the electricity projects which will go live after the first phase or are still under consideration.

Suki Kinari Hydro Power Station

  • Capacity: 870 MW
  • Fuel: Water (Hydel)
  • Estimated Development Cost: $1.802 Billion
  • Location: River Kunhar Mansehra, KPK
  • Financing: Independent Power Producer (IPP) for 30 years
  • Estimated Commercial Operation: 2020

This is one of the biggest hydel projects under the CPEC. It is being developed and sponsored by M/s Mott McDonald UK and M/s Coney Blair of France, Al Jomaih Holding company, (LLC) Riyadh, Saudi Arabia and Eden Inc. Berhad, Malaysia.

The project will also bring Rs. 2 billion in profits per annum to KPK. Additionally, the project will be handed over to the KPK government 30 years from now without any charges.

The supplementary agreement has been approved and the land acquisition process is underway.

Karot Hydro Power Station

  • Capacity: 720 MW
  • Fuel: Water (Hydel)
  • Estimated Development Cost: $1.42 Billion
  • Location: River Jhelum, AJK and Punjab
  • Financing: Independent Power Producer (IPP)
  • Another one of the hydroelectric projects under the CPEC, it is being developed and sponsored by M/s SMEC (Australia) / China Three Gorges Corporation (CTGC), M/S Associated Technologies (Pvt) Ltd.
  • Estimated Commercial Operation: 2020

The project will be handed over to the Pakistani government after 30 years of operation. The land acquisition process is still underway but it is expected to be resolved very soon.

HUBCO Coal Power Plant

  • Capacity: 660 MW
  • Fuel: Coal (Imported)
  • Estimated Development Cost: $1.20 Billion
  • Location: Hub, Balochistan
  • Tariff: Rs 8.12 per KWh unit
  • Financing: Independent Power Producer (IPP)
  • Estimated Commercial Operation: 2018-2020

The project will be developed and sponsored by Hub-Power Company, a joint venture of China Power Hub Generation Company (Pvt) Ltd (CPHGC) is a joint venture between Hub Power Holdings Limited (HPHL). The IPP will make use of imported coal when it becomes operational. The project is being supervised by the Ministry of Water and Private Power and Infrastructure Board (PPIB).

Currently 30 Chinese personnel are working at the project site.

The power plant will be using Supercritical technology.

Kohala Hydel Project

  • Capacity: 1124 MW
  • Fuel: Water (Hydel)
  • Estimated Development Cost: $2.397 Billion
  • Location: Muzaffarabad, AJK
  • Tariff: Rs 8.12 per KWh unit
  • Financing: Independent Power Producer (IPP) for 30 years
  • This is the biggest hydel project under the CPEC. It is being developed and sponsored by the Chinese Company – Three Gorges.
  • Estimated Commercial Operation: 2024

The project will also bring Rs. 2.19 billion in profits per annum to AJK. Additionally, the project will be handed over to the AJK government 30 years from the date of launch without any charges.

The land acquisition process is underway.

Rahimyar Khan Coal Power Project

  • Capacity: 1320 MW
  • Fuel: Coal (Imported)
  • Estimated Development Cost: $1.60 Billion
  • Location: Rahimyar Khan, Punjab
  • Financing: Independent Power Producer (IPP)
  • Estimated Commercial Operation: Feasibility done. No estimate yet.

The project will be developed and sponsored by the Chinese Shanghai Electric Power Generation, China Machinery Engineering Corporation and Nishat Power Company.

The IPP will make use of imported coal when it becomes operational. The project will be supervised by the Ministry of Water and Punjab Power Development Board (PPDB).

The power plant is said to use Supercritical technology when it starts working.

Pakistan Wind Farm II

  • Capacity: 100 MW
  • Fuel: Wind
  • Estimated Development Cost: $150 Million
  • Location: Jhimpir, Sindh
  • Financing: Independent Power Producer (IPP)
  • Estimated Commercial Operation: No estimate

It is one of the few wind power projects being developed in Sindh. However, details are scarce regarding this project. If other projects are any indication, it won’t take long for this wind farm to go online.

The project will be executed under the supervision of Alternative Energy Development Board (AEDB).

Oracle Coalfields Mine Mouth Power Project

  • Capacity: 2×600 MW = 1200 MW
  • Fuel: Coal (Local)
  • Estimated Development Cost: Plant Cost to be declared later + $1.30 Billion Associated Cost
  • Location: Thar Block-VI, Sindh
  • Financing: Independent Power Producer (IPP)
  • Estimated Commercial Operation: 2022

Oracla Coalfields PLC UK is executing and financing this project. The independent power producer will make use of local coal from Thar Block-VI when it becomes operational. The Private Power and Infrastructure Board (PPIB) is supervising the project.

SSRL Thar Plant will use subcritical technology so unit prices will be slightly higher.

Associated with this plant is the $1.3 billion Thar Block-VI mining pit which will eventually fuel the plant. It will produce 4.0 metric ton of coal per annum initially, which will later increase to 8.0 metric tons per annum as per its growing requirements.

Muzaffargarh Coal Power Project

  • Capacity: 1320 MW
  • Fuel: Coal (Imported)
  • Estimated Development Cost: $1.60 Billion
  • Location: Muzaffargarh, Punjab
  • Financing: Independent Power Producer (IPP)
  • Estimated Commercial Operation: 2022 (rough estimate)

The project was to be financed under CPEC but has been delayed due to concerns over pollution.

The IPP will make use of imported coal when it becomes operational. The project will be supervised by the Ministry of Water and Punjab Power Development Board (PPDB).

The power plant is said to use Subcritical technology when it starts working.

Gwadar Coal /LNG / Oil Power Project

  • Capacity: 300 MW
  • Fuel: Coal (Imported), LNG, Oil
  • Estimated Development Cost: $600 Million
  • Location: Gwadar, Balochistan
  • Financing: To be decided
  • Estimated Commercial Operation: Still being planned.

The project is still being planned and a summary for an oil/LNG based power plant is under process. If and when operational, the power plant will make use of imported fuel only. The project will be supervised by the Gwadar Development Authority (GDA)

525MW Gas Power Plant

  • Capacity: 525 MW
  • Fuel: Gas
  • Estimated Development Cost: $550 Million
  • Location: Chichoki Malian, Punjab
  • There is still no information regarding the project aside from the specifications mentioned regarding the plant.
  • Estimated Commercial Operation: No estimate.

Note:

  • Supercritical technology means operating at very high pressures and temperatures resulting in higher efficiency.
  • Subcritical technology was normally used a few decades ago and has lesser efficiency than supercritical one. It operates at slightly lower temperature and pressure.

Once finished, Pakistan could be looking at an increased power generation capacity of close to 15,000 MW by 2023.

This concludes our coverage of electricity projects which were launched under CPEC and aim to resolve our loadshedding problems for good in the coming years. Let’s hope everything goes well and the electricity issue becomes a distant memory for all Pakistanis.

He is the Editor-in-Chief at ProPakistani. Reach out at aadil.s[at]propakistani.pk


  • The phase 1 list of projects are the ones started much before the CPEC was even signed! No source of information, investment being shown completely as investments while much part of it is in form of loans!
    But it’s a very good entertainment for fools of Pakistan as I can see everyone embracing this shit!

  • Great written, I think by 2020 pakistani people getting full benefit from CPEC and related project. The worst govt of PPP and mushraf era actually dragged pakistan 25 years back.

    Well done both govt and opposition for start and put check on these projects.

    Inshallah Pakistan will be next asian tiger and economically strong nation soon.

    Pakistan Zinda Baad.

  • Please assume demand for electricity will remain same in the future
    Yes by 2025 more power will be generated, but by 2025 more demand for electricity will also be generated
    So no dont expect loadshedding to end
    hell dont expect any change

  • Its nothing but a series of jokes with people. In 2023 we will be finally able to make 15000 MW and what will be the demand at that time? Its not that time when a house only need electricity for bulbs and fans.


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