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Delay in coal procurement hampers Jamshoro's 660MW Coal Fired Power Project activationBreaking

May 18, 2024

Despite the completion of the first phase of the 1320MW Coal Fired Power Project in Jamshoro, which encompasses a significant 660MW capacity set to initiate electricity production, challenges persist, hindering its activation. According to sources, foremost among the issues is the delay in coal procurement, compounded by logistical obstacles. While the project aims for a blend of 80 percent foreign imports and 20 percent Thar coal, the absence of a railway line from Chhoor city to Islamkot poses a significant challenge in transporting Thar coal, raising questions about the project's adherence to its coal-sourcing agreement. Moreover, concerns over irregularities in coal procurement have surfaced, with allegations of favoritism toward a second-ranked company over the lowest bidder, casting a shadow on the project's integrity.

Attempts to seek clarification from key stakeholders, including Chief Executive Officer Thar Mill Powerhouse Abdul Wakil and newly appointed Project Director Bashir Ahmed Babbar, have been met with silence, exacerbating concerns about transparency and accountability. The delay in addressing these challenges has not only stalled the project's activation but has also incurred substantial financial costs, with more than 13 crore rupees being paid continuously as interest on loans from the Asian Bank. With the project's progress hampered by these issues, stakeholders, including Mohammad Sajan Panhoor of WAPDA Pesham Union and General Secretary of Pakistan Wapda Hydro Union Sami Fauji, have voiced their discontent, highlighting the urgency for swift resolution to salvage the project from further damage.

Credit: Independent News Pakistan