Rs13.75 billion set aside for exploitation of Thar coal deposits

Sindh Engro Coal Mining Co to start power production from June 2019


Our Correspondent June 06, 2017
PHOTO: REUTERS

KARACHI: The Sindh government has earmarked Rs13.75 billion for the exploitation of huge Thar coal reserves for power production, which is set to start from June 2019 and would gradually help bridge the crippling shortfall in demand and supply of electricity across the country.

According to the 2017-18 budget documents released on Monday, the allocation for Thar coal projects includes Rs2.09 billion for five new projects of infrastructure development.

‘Thar coal has potential to resolve energy crisis’

One of these schemes is the rehabilitation and improvement of roads spread over 17.5 kilometres from the Thar airport to Islamkot at a cost of Rs300 million.

The Thar airport, which is being constructed at a cost of Rs1.5 billion, is near completion.

“Thar coal project at block-II of Thar coalfield is on schedule and Sindh Engro Coal Mining Company has removed 35% overburden from the coalmine. The company is now working to expand the coalmine to 22 MTPA (metric tons per annum) and generate 2,600 megawatts by the year 2021,” the document said.

Initially, the company will produce 600 megawatts by June 2019. “The dream of flagship project of Sindh Engro Coal Mining in Thar is near reality,” it said.

Sindh has huge coal reserves in the deserts of Thar estimated to be around 175 billion tons - one of the largest lignite deposits in the world that can last for centuries.

Thar coal resources have an estimated potential of generating 100,000 megawatts of electricity for a period of 300 years.

Thar coal is the real game changer in Pakistan’s energy scenario and is key to achieving energy security.

Thar project: First unit to start power production by end of 2018

“Government of Sindh also ensures that social safeguards are in place for communities and citizens impacted by coal and related development. Government has established a predictable and enforceable legal and regulatory framework to support sector operations,” the budget document said.

Published in The Express Tribune, June 6th, 2017.

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