Setting up of 600 megawatts power project: textile city to sign joint venture with K-Electric
Pakistan Textile City Limited (Textile City) has decided to take formal approval from the Ministry of Textile Industry to sign a joint venture with K-Electric for setting up a 600 MW coal-based power project. K- Electric has presented a proposal to Pakistan Textile City for a joint venture of 600 MW coal-based power project in the Textile City which will help to supply cheap power, steam and hot water to value-added textile industries in the Pakistan Textile City zone.
The proposal was discussed in the 58th Board of Directors meeting of Textile City Limited held in Karachi. The meeting was chaired by Dr Mirza Ikhtiar Baig, chairman of Pakistan Textile City Limited. During the meeting, a team of K-Electric led by Dr Syed Naveed Ahmed, chief of Corporate Strategy & Business Development, along with Ammar Talat, Deputy Director, gave a detailed presentation of the project.
After reviewing the proposal, the Textile City Board has granted approval of the agreement with K-Electric for setting up a 600 MW coal-powered project. As both parties are agreed in principle for the proposed joint venture, the Textile City Board has also decided to forward its recommendation to the Ministry of Textile Industry for the approval. A joint venture agreement will be singed with K-Electric, when the ministry will grant formal approval, sources said and added that K-Electric has acquired expertise in coal-powered electricity generation as they are in process to convert their two units at Bin Qasim from furnace oil to coal.
K-Electric has already signed an agreement with Pakistan Textile City to supply 50 MW uninterrupted power to the Textile City for initial industries to be set up there. Required infrastructure work for the supply of 50 MW has already been completed by K-Electric. During the meeting it was also decided to speedily completion of infrastructure work to launch the Textile City project in next two months. Electricity and water have been available in the project.
The board appreciated the efforts of the chairman for removing hurdles of the project of the vital importance which will provide 8,000 jobs in Karachi and would also generate additional revenues for the national exchequer. The meeting was attended by Directors, Wajahat A. Baqai, EVP of National Bank, Shabbir Anwar Kazi, DG, Port Qasim Authority, Sheikh Aftab Ahmad, SVP of Saudi Pak Industrial & Agriculture Investment, Zarrar Haider, Joint Secretary, Ministry of Industries, Group Head of NIB Bank Shah Miftahul Azim, Muhammad Salahuddin, Deputy Secretary, Ministry of Textile, and CEO of Pakistan Textile City Muhammad Hanif Kasbati.