K-Electric (KE) has allocated a Rs. 26 billion development kitty to revamp the supply grid and to extenuate the power disruptions projected for 2021.
According to a statement issued by KE, its directors have approved investments of Rs. 9.5 billion for measures against backlash from the rain. The first year of the mitigation plan will incorporate Rs. 1.5 billion, which is expected to commence in the first quarter of 2021.
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KE has scheduled a series of major investment plans for 2021 to ensure an uninterrupted supply of power and a quicker restoration lineup to curb losses.
Its statement read: “K-Electric is pursuing an aggressive distribution investment plan. These measures include raising the foundation of distribution infrastructure, waterproofing of highlighted substations and replacement of equipment and cables, and increasing the capacity to augment the dewatering efforts made by civic agencies particularly in areas prone to waterlogging”.
The statement included a recursive timeline for the upgradation of Karachi’s energy value chain with the establishment of a 900MW RLNG-fired power plant and extensive transmission and distribution upgrades. The company expects to spend $2 billion on the new upgrades that have been planned for a period of over three years.
The statement has also notified relevant stakeholders to commence the recommended engagements to inspire “collaborative efforts and ensure that all parties play their due roles in preparing for the next monsoon season such as clearance of the city’s storm drains and removal of impediments to the same as well as removal of encroachments and impediments that hinder KE’s ability to conduct maintenance, upgrade and restoration work before and during the rains”.
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Ever since its privatization in 2005, KE has invested around Rs. 335 billion on its extensive power utility grid across Karachi and its connected regions. KE’s latest investment overhaul is indicative of major upgrades to its supply grid in 2021.
The grid’s power generation capacity has increased by 1,057MW to 3,202MW, showing commendable improvements despite recurring financial intricacies.
RS. 335 billion investment on grid system in 2005 ????? :)