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Coal power generation by 2015-16: Sindh CM
KARACHI: Sindh Chief Minister Syed Qaim Ali Shah informed Sindh Assembly on Monday that expected date of Thar coal based power production by Engro is 2015-16.
He pointed out that feasibility of an approximately 600-1000 MW Thar Coal-based Power Plant will be carried out by Engro Power Gen Ltd which is estimated to take 18 months and further 6-12 months of financial close.
He was replying to a question of Heer Ismail Soho during question hour.
He said no committee has been formed consisting of Secretary Mines and Engro head for development of Thar. However, in line with Joint Venture Agreement (JVA) with Engro Group a J.V. company "Sindh Engro Coal Mining Company Limited (SECMCL)" has been incorporated under the Companies Ordinance.
Qaim Ali who also holds the portfolio of Coal and Energy Development, pointed out that this J.V Company is being run by its Board of Directors comprising ten directors, six from Engro and four from Sindh Government. The Board of Directors is as per the J.V ratio of 60:40 (40% GOS).
He said Government of Sindh has entered into Joint Venture Agreement with Engro Group for development of coal mining in Thar Coalfield Block-II with share of 40% GOS and 60% Engro Group.
He said Sindh Engro Coal Mining Company Limited has been incorporated with initial capital of Rs. 199.200 million (40% share of Government of Sindh and Rs. 298 million (60% share by Engro Group), for detailed feasibility study in first phase.
To another question of same member, Chief Minister said the company would oversee the first "project" for an open cast mining facility with and annual capacity of 3.5 - 6.5 MT for which a detail feasibility study (DFS) will be carried out.
He said the company will ensure that adequate skill development programs are put in place along with other training facilities for locals of the area. He said 2% of profit before tax to be spent on Corporate Social Responsibility (CSR) related activities in Thar.
Courtesy www.Geo.tv