13 MoUs with foreign power generating companies signed

Lahore: Federal Minister for Water and Power Liaquat Ali Jatoi has said that his Ministry has signed 13 memorandum of understandings (MoUs) with the international power generating companies in the last six months to set up power plants to overcome shortfall of 1500MW currently faced by the country.

He told reporters here on Thursday that investment worth $200 billion would be made to establish power generation plants. The government has allocated over 140 billion rupees for the mega projects for the power sector to minimise the load management in the country.

Jatoi said that load shedding currently resorted in the country would be finished soon. The Ministry of Water and Power had also signed an agreement with the Iranian company to import 100MW power to overcome power shortage.

The work on Bhasha Dam will be started in 2009 which would help overcome power shortage on completion, he added. He further said that Mangla Raising Project will be completed in June 2008 and an additional 2.88 million acre feet (MAF) water will be made available to the country for irrigation purpose after the completion of Mangla Dam Raising Project by June 2008. Besides, 644 Gigawatt hour (Gwh) additional electricity will also be generated from the existing powerhouse due to the high head of water.

He added that different power generation companies would invest US $200 billions in the country, which was an uneasy task. The president and the prime minister tried to convince the investors, despite their strong reservations. He said, 'It is the top priority of the government to provide smooth and constant power supply to the consumers on the cheap rates.'

He further stated, 'Wapda had to follow the load management policy because of intensive use of electricity accessories, especially the use of more than 150000 air-conditioners were increasing per year in the country, the industry and housing sectors are booming rapidly which also needs the ample quantity of power. In the last summer there was a shortfall of 1,500 to 2,000MW in the country. It is decreasing rapidly because of pragmatic precautionary measures taken by the Pakistan Electric Power Company (Pepco).'

He said Pepco Managing Director Munawar Baseer had chalked out a plan to control the power shortage by the National Conservation Policy and through it to maintain and repair dreaded power generation plants. Using energy savers would save more than 860MW. He said the Rainy Canal and Kachi Canal project would be completed soon, helping to minimise power-cuts in the country.

The minister said old power generation plants would be repaired and if its spare parts were available in the market they would be replaced. He said in 2010 more than 200MW power would be surplus because of various power generation projects were in the pipeline.

He said he himself was against the National Reconciliation Ordinance (NRO) because of no-compromise on the plundering money of the nation Benazir Bhutto looted more than US $150 billion of the public which is unpardonable crime. 'People will elect their candidates keeping in mind their performance. Her arrival never scared me,' he added.