The Commercial Operation Date (COD) of the 330 MW ThalNova Power Project, located at Thar Block-II, has been announced by the Private Power and Infrastructure Board (PPIB).
The Commercial Operation Date (COD) of the 330 MW ThalNova Power Project, located at Thar Block-II, has been announced by the Private Power and Infrastructure Board (PPIB). This significant development is yet another step forward in PPIB’s efforts to supply low-cost, indigenous electricity to the national grid according to an official statement.
ThalNova Power Project, a mine-mouth lignite-fired power plant at Thar Coal Block-II Sindh sponsored by a joint venture of HUBCO, Thal Limited, Novatex Limited, China Machinery Engineering Corporation (CMEC), and Descon with a $497.7 million investment, is part of the China Pakistan Economic Corridor (CPEC).
The plant will be powered by coal extracted from Thar Block-II by the Sindh Engro Coal Mining Company and will use 1.9 million tons of coal to generate 2.24 billion units of electricity per year, saving Rs 55 billion per year.
With this latest addition, total electricity production from five Thar coal-based power generation plants has surpassed 3,300, indicating growing investor interest.
Prior to ThalNova, PPIB facilitated the commissioning of four Thar coal-based projects totaling 2,970 MW in gross capacity, namely the 660 MW Engro, the 660 MW Lucky, the 330 MW Hubco, and the 1320 MW Shanghai Thar power projects, all of which are at the top of NPCC’s merit order list.
According to PPIB, the commissioning of ThalNova will result in significant annual savings of foreign exchange outflows and reduce reliance on imported fuels, with a cumulative estimated reduction in fuel bills of 3,300 MW and Rs 550 billion, after which the basket price of electricity will be significantly reduced.
Furthermore, by creating employment and business opportunities, the ThalNova Project will play a critical role in bringing prosperity to local and regional communities and improving the lives of local Thari people.
The Private Power and Infrastructure Board (PPIB) was established in 1994 on behalf of the Government of Pakistan (GoP) as a “One-Window Facilitator” to promote private investments in the power sector.
The Private Power and Infrastructure Board Act of 2012 established PPIB as a statutory organisation in 2012. (Act VI of 2012). The GoP has expanded PPIB’s role by allowing it to facilitate public sector power and related infrastructure projects in IPP mode, for which the PPIB Act was amended in November 2015.