Beco Steel Limited (PSX: BECO) has begun construction of its 5 MW solar power plant, a move expected to significantly cut the company’s electricity costs and reduce reliance on grid power.
In a disclosure submitted to the Pakistan Stock Exchange, the company said work on the project has started following earlier approval of its expansion plan. The contract for installation of solar panels has already been awarded, while procurement and other arrangements are currently underway
The company has also applied for the required sanctioned load from the Lahore Electric Supply Company. Beco Steel expects the solar installation and enhancement of sanctioned load to be completed within around four months.
Once the system is commissioned, the 5 MW solar plant is projected to generate an average of 600,000 kilowatt hours of electricity per month. This is expected to result in cost savings of about Rs. 16.8 million per month, translating into annual savings of nearly Rs. 201 million.
Beco Steel said the project is part of its broader strategy to improve energy efficiency and control rising power costs. The company added that further updates will be shared with the market as the project progresses.
Beco Steel Limited is a listed steel manufacturer with production facilities in Lahore, supplying construction grade steel products to infrastructure, housing and industrial projects across the country.