Key Takeaways
- Stakeholders held talks on coal supply for the Jamshoro Power Plant.
- The project aims to reduce reliance on imported coal and boost local economy.
- Conversion could generate $3.2 billion in economic benefits over the plant’s life.
Pakistan has taken a significant step towards converting its 660-megawatt Jamshoro Power Plant to indigenous Thar coal, with key stakeholders meeting to discuss fuel supply arrangements and project implementation.
The meeting, held at the Thar Block-1 mine, involved representatives from K-Electric (KE), Jamshoro Power Company Limited (JPCL), Sino Sindh Resources Limited (SSRL), the Thar Coal Energy Board, and the Private Power and Infrastructure Board. The discussions focused on interim blended coal operations and the eventual transition to full utilization of Thar coal.
The stakeholder engagement follows an independent bankable feasibility study commissioned by KE and conducted by German engineering consultant Dornier Power and Heat GmbH. This study concluded that converting Jamshoro to Thar coal is both technically and economically viable, with potential economic benefits estimated at $3.2 billion over the plant’s remaining operational life.
KE has stated that the combined coal demand from the Jamshoro project and its future generation portfolio could justify expanding Thar Block-1’s production capacity from 7.8 million tonnes per annum (MTPA) to approximately 15.6 MTPA, providing sufficient long-term offtake for the mine.
The conversion aims to reduce Pakistan's reliance on imported coal and conserve foreign exchange, aligning with KE's broader generation transformation strategy to increase the use of indigenous fuel across suitable assets in its power generation portfolio.
According to KE, this project could complement the company’s efforts to enhance energy security and support local economic growth through increased utilization of Thar coal. The move is seen as a significant step towards achieving these goals.
