AEDB apathy discouraging investors for wind energy

The indifference of Alternative Energy Division Board (AEDB) is responsible for discouraging foreign investors with regard to wind energy projects of 310MWs. Director General, Sindh Board of Investment (SBI), Mohammad Younus Dhaga, said the board of investment was pursuing several cases for identification of land in consultation with AEDB, but the latter’s attitude was non-cooperative. He made these comments while chairing a meeting of the committee formed by the Sindh government to clear cases of land allocation for new wind energy projects.

Resolving land allocation

The cases AEDB deals with include allocation of land for 50 MW wind power project of M/s Engro Powergen Limited, for whom USAID funding was available for completion of bankable feasibility; allocation of land to Korea Southern Power Company Ltd (KOSPO), with whom an MoU for allocation and identification of land was signed for a project of 200 MW during the visit of Chief Minister Sindh to Seoul in July; and allocation of land for two smaller projects of 10 MW each of M/s Ismail Power Pvt Ltd and M/s Tapal Wind Energy Pvt Ltd.
Moreover, it was further stated by the chair that AEDB pointed out in their letter dated 23rd August, that there were other projects pending with AEDB for allocation of land and it would be appropriate to review them. In lieu of such suggestions by AEDB, a meeting of this committee was scheduled on 15th September 2011, which was postponed to 17th and subsequently to 22nd of September, to review all pending cases for allocation of land for new wind energy projects. It was also noted that AEDB has been asking for allocation of land of 50,000 acres even though the government has now constituted this committee to clear the projects on case to case basis.

AEDB agenda

The meeting was postponed due to the absence of chief executive officer, AEDB, and scheduled again yesterday for his briefing before this committee on pending applications for allocation of land. The CEO AEDB did not appear even in the subsequent meeting; therefore, the committee could not discuss the agenda.
It was decided to request the CEO AEDB once again to brief the committee about pending cases in order to clear projects as per the provincial government policy for allocation of land for wind power projects. It is to be noted that AEDB, through their letter No.B/3/l/Land/07/COK, dated 10th September, 2011, recommended allocation of land to M/s Triconboston of USA for development of wind power project. Since the project was for 50 MW only, the Executive District Officer, Thatta gave availability of 1250 acres for the proposed project of M/s. Triconbonston of USA, therefore, a summary for Chief Minister shall be moved by Member (Land Utilisation) for the approval.

Non-cooperation
of AEDB staff

The meeting further informed the participants that the land was earlier allocated for AEDB projects and was subsequently cancelled. However, its restoration and further allocation to Engro Powergen Ltd. could not be decided in the absence of AEDB representative. The committee took notice of the non-cooperation of concerned staff of AEDB for survey of land for the pending applications of wind power projects in the wind corridor. Several applications for land allocation for wind power projects were lying pending because AEDB did not provide the services of the technical staff to accompany the revenue officials of District Thatta, they said. ‘It was, therefore, decided to approach the Government of Sindh for provision of funds to create a technical wing to help in survey and identification of suitable land in the wind corridor for new wind energy projects,’ the meeting decided.
The participants of the committee were Secretary Investment/DG SBI Mohammad Younus Dhaga, Secretary/Member (LU) Board of Revenue Sindh Ghulam Mustafa Phul, Executive District Officer (Revenue) Thatta Abdul Hafeez Sial, and Deputy Secretary (Admin) CM House Saeed Ahmed Shaikh.