Dispute Persists Between Power Division and KE Over Jamshoro Plant’s Conversion to Thar Coal

Thar-coal

ISLAMABAD: The ongoing disagreement between the Power Division and K-Electric (KE) regarding the conversion of the Jamshoro Power Plant from imported to indigenous Thar coal remains unresolved, with both parties clashing over the interpretation of committee meeting minutes, sources told Business Recorder.

The contention revolves around the Bankable Feasibility Study (BFS) for the conversion. KE claims that the minutes circulated from the fifth committee meeting on March 25, 2025, do not accurately capture its concerns or the procedural clarity it had provided.

KE emphasized the importance of initiating the technical assignment as a first and critical step, noting that the BFS involves a complex, multi-stage process including site visits, design simulations, environmental and financial assessments, and consultation with NTDC for utilization analysis using PLEXOS software.

The utility stressed that rushing the process could compromise the study’s quality and its eventual bankability, a key requirement for stakeholder approval including international financiers like the Asian Development Bank.

KE pointed out that committee members had earlier agreed on a five-month timeline during the January 14, 2025 meeting, a consensus it believes is being overlooked in the latest minutes. Additionally, KE raised concerns over data shortcomings from Jamshoro Power Company (JPCL), which are vital for beginning the study.

Calling for transparency and accuracy, KE has urged the Power Division to revise the meeting minutes to reflect its inputs and proposed that draft versions of future minutes be circulated among all members for approval — a practice previously followed.

KE reaffirmed its commitment to a high-quality feasibility study and called on the Power Division to uphold process integrity and avoid premature deadlines that could lead to costly mistakes, citing past public sector project failures due to similar oversights.

Story by Mushtaq Ghumman

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