Karachi
Forty-five proposed clean energy projects to be installed in Sindh with a cumulative generation capacity of over 3,000 megawatts have been waiting for their approval under the competitive bidding regime, whose auction has to be conducted by the federal government.
Sindh Energy Minister Syed Nasir Hussain Shah passed on this information to Chief Minister Syed Murad Ali Shah, who chaired a meeting on enhancing coordination between federal and provincial agencies for data sharing and revenue collection.
The provincial energy minister said that 26 proposed wind energy projects with a total generation capacity of 1875 MW had been waiting for approval under a competitive bidding system. Similarly, 19 proposed solar projects with a cumulative generation capacity of 1150 MW have been waiting for their approval under the same competitive bidding system, whose auctions have to be held by the federal government.
After a discussion, the meeting decided that the Sindh government should propose to the relevant federal authorities that the first round of competitive bidding among the proposed clean energy projects possessing LoIs (letters of intent) should be conducted by the Sindh Energy Department. Otherwise, the Private Power Infrastructure Board, a federal entity, should conduct competitive bidding as per the rules of business for the renewable energy sector.
The CM told the meeting that a consensus had been reached with all the concerned stakeholders for conducting competitive bidding among the LoI holders for setting up wind energy projects for producing 300 MW of clean electricity for Karachi Electric.
The meeting was also informed that the previous Sindh government of the Pakistan Peoples Party had decided to fund through equity contributions the project of building rail connectivity for the transportation of Thar coal to the upcountry. The previous caretaker government in Sindh approved a proposal to provide 50 per cent of the project’s cost as a loan to Pakistan Railways, as this proposal has to be okayed by the Sindh cabinet. A Finance Feasibility Agreement was reached between the Pakistan Railways and Sindh Energy Department on January 31, 2024, for 50 per cent financing of the project’s cost. The Sindh CM asked the Sindh Energy Department to send a proposal for ratification of this agreement.
