Much-touted Nandipur power plant is likely to re-start power generation from March next year, and the petroleum ministry has assured the supply of gas to the plant which has not been generating power for several months.
Well-placed sources revealed that the power ministry has prepared a plan to run the plant and said that the Nandipur power plant was expected to begin commercial operation from March 2017 as instalment of furnace oil treatment plant (FOTP) was in full swing.
However, the power plant worth Rs 58 billion could not be made fully functional as Chinese engineers even after 16 months remained unable to restore complete operation of the power plant. Closure of the plant has caused Rs10 billion loss to national exchequer, they added.
They said closure of power production from the plant was due to appearance of fault in FOTP and that a Chinese firm has been installing the furnace oil treatment plant (FOTP) to make it efficient for power production, they added.
Federal Minister for Water and Power and Defence Khawaja Muhammad Asif on Wednesday while talking to Pakistan Today in Supreme Court premises confirmed that the information regarding re-start of power generation from much-talked Nandipur power plant from the month of March next year.
He said that this time the Nandipur power plant would start power generation as per its installed capacity and Chinese contractor is installing the FOTP which have additional capacity.” He said Nandipur power plant will start power generation from March 2017 as per its full installed capacity of 525MW, while in case of absence of gas, the plant will run with furnace oil and it will produce 425mw.
He further informed that petroleum and natural resources ministry has assured the supply of gas to run Nandipur power plant with cheaper source of gas.
According to the agreement, Chinese contractor was responsible to make the plant fully operational. However, Nandipur Plant could not be made fully functional, which was the violation of agreement despite the completion of commercial operation.
The power sector regulatory authority during the last week took notice of the closure and sought response from the Ministry of Water and Power in this regard.
The sources further said that the construction work of the Nandipur Plant was completed during July last year. However, it could not generate electricity as per its full installed capacity because the plant met with some faults within two weeks to its start of operation.
Interestingly, NPGCL in a review petition regarding the Nandipur Power Project has communicated to NEPRA that the project might cause loss of billions of rupees even if it was made operational at full capacity.
National Accountability Bureau (NAB) has been investigating sky-high increase in the cost of Nandipur Plant and sought documentary evidence regarding heavy payments to various contractors in the name of repairing of plant’s machinery without following necessary tendering process.
Musharraf government had awarded the project and the agreement for the Nandipur power plant project between the Pakistan government and a Chinese company was signed on January 28, 2008, when the country was under a caretaker setup.
The Ministry of Water and Power has already communicated three major technical problems with the project, including the import of a low capacity furnace oil treatment plant, flaws in the long-term outsourcing contract for operation and maintenance, and the short-term contract awarded to engineering, procurement and construction contractors.
A case should be filed against Nawaz Sharif and Shabaz Sharif for the loss of an important power project. Entire cost should be recovered from the two failing which they should be sent to Jail.
Comments are closed.